Michigan Retirement System places $300m in Lone Star Fund XII

The State of Michigan Retirement System has backed Lone Star Fund XII, a debt fund managed by Lone Star, with a $300 million commitment.

The vehicle launched in May 2022. Based on information about previous funds in the series, Lone Star Fund XII will invest in opportunistic distressed debt secured by properties in the United States, Europe and Japan. An equity fundraising target was not disclosed for Fund XII, but the predecessor fund closed in 2019 with $8.1 billion in capital commitments.

Lone Star Fund XI targeted investments in financial and other investment assets, including single-family residential debt, corporate and consumer debt products, and investments in financially oriented and other operating companies.

Michigan Retirement System could not be reached to comment on its investment at the time of publication.