Firm Announces Close of Both Infrastructure and Natural Resources
NEW YORK--(BUSINESS WIRE)--
Global investment firm Kohlberg Kravis Roberts & Co. L.P. (together with
its affiliates, "KKR") today announced that with the closes of its
infrastructure and natural resource funds, the firm's Energy &
Infrastructure platform now manages $4 billion in non-private equity
"KKR's global energy and infrastructure business has a broad set of
operational, technical and financial capabilities to bring to all of our
investments," said Marc
Lipschultz, Global Head of KKR's Energy and Infrastructure business.
"These funds, which target attractive opportunities outside of the
private equity arena, benefit from our global footprint, extensive and
deep resources and strong track record of investing in this space," he
The infrastructure fund had a final close on over $1 billion, which, in
addition to the $1.3 billion of already committed infrastructure-related
separate accounts, brings total infrastructure committed capital to $2.4
billion. The natural resource fund also had a close, bringing total
commitments to $1.25 billion, which, in addition to $350 million of
capital outside the fund, brings total committed capital for natural
resources to $1.6 billion. Both funds include committed capital from a
diverse group of global investors, including insurers, pension plans,
and family offices.
KKR's infrastructure fund has a broad mandate centered on global
infrastructure, particular areas of emphasis include midstream energy,
renewable energy, utilities (water, power and gas), social
infrastructure and selected transportation-related infrastructure.
Recent infrastructure investments include an operating wind-powered
electricity generation business in France in partnership with Sorgenia,
a leading Italian operator; an operating solar generation business in
partnership with T-Solar, one of the top solar developers and operators
globally and SunTap, a partnership with Google and Recurrent Energy that
manages a global portfolio of solar photo-voltaic facilities. The fund
has also made an investment in Saba Infraestructuras, a leading operator
of car parks and logistics parks. Prior to forming the fund, KKR's
infrastructure platform also acquired a 23.44% stake in the Colonial
Pipeline Company, the largest refined products pipeline in North America.
"There is a growing need for capital to support investment and growth in
critical public and private infrastructure. Given its long term and
predictable cash flow, coupled with the growing need for investment, we
continue to believe that infrastructure is an attractive, stable asset
class, and we are excited about the opportunities that lie ahead," said Raj
Agrawal and Jesus
Olmos Clavijo, Heads of North American Infrastructure and European
KKR's natural resources strategy ("KNR") seeks to acquire and operate
oil and gas properties that are largely comprised of proved, developed
producing reserves and operate them effectively and efficiently. To
date, KNR has completed six separate transactions, acquiring over $950
million of assets in core operating regions in the Barnett Shale, East
Texas, North Louisiana, Mississippi and the Texas Gulf Coast. With over
$1 billion of committed capital remaining and available for investment,
KNR has the capacity to purchase almost $2 billion of additional
properties and will seek to acquire high-quality, producing assets both
within and outside its core operating areas over the next few years.
"The commercialization of unconventional oil and gas reservoirs has
created new opportunities to grow and develop our domestic energy
resources. With KNR, we seek to help operators focus their capital and
resources on these exciting opportunities by acquiring their non-core
assets, which provides them with capital to re-invest in attractive
growth opportunities," said Jonathan
Smidt, a Member of KKR and Head of KKR Natural Resources.
KNR's existing oil and gas properties are operated by Premier
Natural Resources ("Premier"), a Tulsa, Oklahoma-based team that was
founded in June 2006 by former executives of Vintage Petroleum. Premier
currently operates a portfolio of assets located in the Barnett Shale,
the Texas Gulf Coast, the Permian Basin, Louisiana, and Mississippi and
has extensive experience operating assets in most of the major producing
basins in the United States.
Founded in 1976 and led by Henry Kravis and George Roberts, KKR is a
leading global investment firm with $62.3 billion in assets under
management as of March 31, 2012. With offices around the world, KKR
manages assets through a variety of investment funds and accounts
covering multiple asset classes. KKR seeks to create value by bringing
operational expertise to its portfolio companies and through active
oversight and monitoring of its investments. KKR complements its
investment expertise and strengthens interactions with investors through
its client relationships and capital markets platform. KKR is publicly
traded on the New York Stock Exchange (NYSE: KKR). For additional
information, please visit KKR's website at www.kkr.com.
Kohlberg Kravis Roberts & Co. L.P.
Kristi Huller, 212-230-9722
Source: Kohlberg Kravis Roberts & Co. L.P.
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