The University of California posted performance data for its
$2.1 billion private-equity portfolio online Thursday, becoming the
latest public institution to disclose this sensitive data.
The posting comes after months of legal wrangling and an appeal
to the state’s Supreme Court, its highest legal body.
The institution was sued in April by the San Jose Mercury News
newspaper, the Coalition of University Employees and a UC Berkeley
professor, who wanted the investment information made public for
review.
The performance data shows that as of March 31, the university
had paid out $1.5 billion in investment commitments to 94
partnerships and received $2.9 billion of distributions in
return.
Private-equity investments make up less than 2 percent of the
system’s overall portfolio.
“The general position that the plaintiffs had was that the
public interest in having access to this information outweighs
other benefits,” said UC spokesman Trey Davis.
According to the posting, the net asset value of the
institution’s venture and private partnership investments was
$700 million as of March 31.
So far, the portfolio has generated $2.1 billion in profits, or
2.4 times the amount contributed, according to the posting.
“There is an enormous public benefit to the UC being able
to invest in these capital funds,” Davis said. “Our
argument is that the benefit for the public far outweighs the
benefit of knowing.”
The result of the disclosure has already led some firms, such as
Sequoia Capital, to end business relationships with the UC.
With reports from Brad Greenberg, Bruin Senior Staff, and
Bruin Wire Services