Private Equity Betting Big On U.S. Energy Boom

The Blackstone Group L.P. NYSE: BX is expected to exceed its $4 billion target for its new energy fund by the time it finishes its money-raising process. Morgan Stanley NYSE: MS raised $500 million for Blackstone’s energy feeder fund in a single day, and the fund was oversubscribed by four times.Warburg Pincus LLC has also raised $4 billion this year for a new energy fund. The original goal for the fund was $3 billion, but after so much investor enthusiasm, Warburg Pincus increased the size of the fund by $1 billion. Earlier this year, KKR & Co. L.P. NYSE: KKR raised $2 billion for a new oil and gas fund. As of the end of 2013, $8.7 billion of the private equity giant’s $94.3 billion in assets was devoted to energy and infrastructure.Private equity players seem very eager lately to get a piece of American oil and gas, but it remains to be seen how long the energy wave will last.

via Private Equity Betting Big On U.S. Energy Boom: The Blackstone Group, L.P., KKR & Co. L.P., Warburg Pincus LLC Raise Big Money | Benzinga.

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