Riverstone Holdings was organized in May 2000 to invest in private equity opportunities in the energy and power sector. Partnering with The Carlyle Group, the firms have organized six funds, Carlyle/Riverstone Global Energy and Power Fund I, L.P. in 2001 with $222 million of equity commitments, Carlyle/Riverstone Global Energy and Power Fund II, L.P. in 2002 with $1.1 billion of equity commitments, Carlyle/Riverstone Global Energy and Power Fund III, L.P. in 2005 with $3.8 billion of equity commitments, Riverstone/Carlyle Global Energy and Power Fund IV, L.P. in 2007 with $6.0 billion of equity commitments, Carlyle/Riverstone Renewable Energy Infrastructure Fund I, L.P. in 2005 with $685 million of equity commitments and Riverstone/Carlyle Renewable and Alternative Energy Fund II, L.P. in 2007 with $3.4 billion of equity commitments. To date, the funds have invested in the midstream, exploration and production, oil field services, refining and power sectors.
Investment Approach
The energy team’s approach to investing comprises the following principles:
- Current energy and power deal flow healthy, driven by consolidation, financial stress and asset rationalization
- New growth opportunities spawned by regulatory change and new technologies
- Specific sectors under-exploited and highly fragmented
- Attractive valuations despite strong macro/long-term fundamentals
- Industry insiders with global network of relationships with potential sellers and buyers
- Long-standing relationships with high-quality management teams
- Distinctive combination of investment and industry professionals with highly successful track records
- Partnering approach provides expertise and access to proprietary transactions
