New firm announces ties to UK pension fund

Constitution Capital Partners LLC of Andover, a new private equity firm, said today that it has raised $600 million from one of Britain's largest pension funds to invest in North American middle market private equity funds and to direct co-investments.

The British pension fund is Universities Superannuation Scheme, or USS, which is the principal pension scheme for British universities and academic institutions, Constitution Capital Partners said.

In addition, USS has committed $150 million to a warehouse line, and London-based USS will also take about a 10-percent ownership stake in Constitution Capital Partners, the firm said.

"This investment by USS is a huge vote of confidence in the North American middle market and in Constitution Capital Partners," Constitution Capital Partners managing partner Daniel M. Cahill said in a statement.
(By Chris Reidy, Globe staff)