Riverstone Holdings

Last updated
Riverstone Holdings
Company type Private
Industry Private equity, Energy & Power
Founded2000;24 years ago (2000)
FounderPierre F. Lapeyre, Jr.
David M. Leuschen
Headquarters 712 5th Avenue
New York, New York, United States
Products Leveraged buyout, Growth capital, Credit
Number of employees
100+
Website www.riverstonellc.com

Riverstone Holdings is a multinational private equity firm based in New York City focused on leveraged buyout, growth capital, and credit investments in the energy industry and electrical power industry sectors. The firm focuses on oil and gas exploration, midstream pipelines, electricity generation, energy and power services, energy and power technology, and renewable energy infrastructure and technology. Riverstone has raised approximately $41 billion since the firm's inception in 2000.

Contents

History

Riverstone was founded by Pierre F. Lapeyre, Jr. [1] and David M. Leuschen, who had been instrumental in the formation of the Goldman Sachs Global Energy & Power Group in the mid 1980s. [2]

The firm is based in New York and has offices in Houston, London, and Mexico City. Riverstone and Carlyle closed on their first fund with $222 million of commitments in 2001. In June 2004, the firms completed fundraising for Carlyle/Riverstone Global Energy & Power Fund II, with $1.1 billion of investor commitments, almost five times the size of the first fund. In 2006, Riverstone and Carlyle raised a pair of funds, including the third in its series of main funds, Carlyle/Riverstone Global Energy and Power III, which raised $3.8 billion of capital. The two firms also raised their first renewable energy focused fund, Carlyle/Riverstone Renewable Energy Infrastructure Fund I, with $685 Million. [3]

Also in 2006, Riverstone was a member of a consortium of private equity firms including Goldman Sachs Capital Partners and Carlyle Group that completed the $27.5 billion (including assumed debt) acquisition of Kinder Morgan, one of the largest pipeline operators in the US. The buyout was backed by Richard Kinder, a former president of Enron. [4]

In 2008, Riverstone and Carlyle raised $6 billion for their fourth main energy fund, Riverstone/Carlyle Global Power & Energy Fund IV. Additionally in 2008, the firms raised a $3.4 billion Riverstone/Carlyle Renewable Energy Infrastructure Fund II as a successor to the $685 million fund raised in 2006 to focus on renewable energy investments. [5] [6]

In 2009 the New York Attorney General Andrew Cuomo ordered Riverstone Holdings LLC to pay $30 million in restitution after Riverstone Holdings employed fixers to get them business from pension funds controlled by "corrupt" state officials. [7]

Then in 2013, Riverstone (operating without Carlyle) raised $7.7 billion for its fifth main energy fund, Riverstone Global Power & Energy Fund V. [8]

In 2016, Riverstone raised $5.1 billion for its sixth main energy fund, Riverstone Global Power & Energy Fund VI. [9]

Also in 2016, Riverstone raised its first flagship credit fund. [10] In 2018 Riverstone raised $750 million for its second credit fund. [10]

In October 2020 Riverstone's Decarbonization Plus Acquisition Corporation (Nasdaq: DCRB) priced a $200 million IPO. [11] In February 2021, Riverstone's Decarbonization Plus Acquisition Corporation II (Nasdaq: DCRN) priced a $350 million IPO. [12]

Operations

As of 2020, Riverstone and Carlyle have six main funds focused on buyouts in energy, [13] two credit funds, and a renewables investing platform with approximately $41 billion of total raised capital. [14] It also manages Riverstone Energy, a company listed on the London Stock Exchange. [15]

Green/Environmental initiatives

In June 2009, Riverstone/Carlyle acquired renewable energy company Pattern Energy Group LP, representing Riverstone's 10th transaction in the Renewable Energy Sector. [16] Pattern Energy is one of the world’s largest private renewable energy companies, with large operating and development footprints in the United States, Canada, and Japan. [17]

In March 2010, Riverstone/Carlyle made an investment in Enviva Partners LP. Enviva is one of the largest suppliers of wood pellets and other processed woody biomass in the world. These products are used by industrial customers. [18] The AES Corporation and Riverstone Holdings LLC announced on March 25 that they have committed up to 1 billion as a part of a new joint venture to develop a global platform of utility-scale solar photovoltaic projects. Together, these firms have provided $500 million of capital over five years to invest in PV solar projects around the world. This jointly owned entity is known as AES Solar, a developer and operator of utility-scale solar installations that will be connected to power grids that supply businesses. These installations consist of land based solar PV panels that capture sunlight and convert it to electricity in order to feed the power grid. [19] In July 2020, Enviva Holdings, LP successfully completed a recapitalization with more than $1 billion of new equity contributions and incremental equity commitments from affiliates of Riverstone. [20]

In January 2021, Riverstone made a commitment to FreeWire Technologies, in electric vehicle (EV) charging and power. [21] Also in January, Riverstone Energy Limited announced an investment of $25 million in Loanpal, LLC, a sustainable home improvement fintech provider used in over half of U.S. residential solar system sales. [22]

In February 2021, Riverstone published their second annual ESG report detailing their commitment to ESG and responsible investing. [23]

Related Research Articles

The Carlyle Group Inc. is an American multinational company with operations in private equity, alternative asset management and financial services. As of 2023, the company had $426 billion of assets under management.

Private equity (PE) is stock in a private company that does not offer stock to the general public. In the field of finance, private equity is offered instead to specialized investment funds and limited partnerships that take an active role in the management and structuring of the companies. In casual usage, "private equity" can refer to these investment firms, rather than the companies in which they invest.

<span class="mw-page-title-main">EQT AB</span> Swedish investment firm

EQT AB is a Swedish global investment organization founded in 1994. Its funds invest in private equity, infrastructure, real estate, growth equity, and venture capital in Europe, North America, and Asia Pacific.

Goldman Sachs Asset Management Private Equity is the private equity arm of Goldman Sachs, focused on leveraged buyout and growth capital investments globally. The group, which is based in New York City, was founded in 1986.

<span class="mw-page-title-main">APriori Capital Partners</span> American private equity investment

aPriori Capital Partners is a private equity investment firm focused on leveraged buyout transactions. The firm was founded as an affiliate of Credit Suisse and traces its roots to Donaldson, Lufkin & Jenrette, the investment bank acquired by Credit Suisse First Boston in 2000. The private equity arm also manages a group of investment vehicles including Real Estate Private Equity, International Private Equity, Growth capital, Mezzanine debt, Infrastructure, Energy and Commodities Focused, fund of funds, and Secondary Investments.

<span class="mw-page-title-main">Apollo Global Management</span> American private equity company

Apollo Global Management, Inc. is an American asset management firm that primarily invests in alternative assets. As of 2022, the company had $548 billion of assets under management, including $392 billion invested in credit, including mezzanine capital, hedge funds, non-performing loans, and collateralized loan obligations, $99 billion invested in private equity, and $46.2 billion invested in real assets, which includes real estate and infrastructure. The company invests money on behalf of pension funds, financial endowments, and sovereign wealth funds, as well as other institutional and individual investors.

CCMP Capital Advisors, LP is an American private equity investment firm that focuses on leveraged buyout and growth capital transactions. Formerly known as JP Morgan Partners, the investment professionals of JP Morgan Partners separated from JPMorgan Chase on July 31, 2006. CCMP has invested approximately $12 billion in leveraged buyout and growth capital transactions since inception. In 2007, CCMP was ranked #17 among the world's largest private equity funds.

<span class="mw-page-title-main">History of private equity and venture capital</span>

The history of private equity, venture capital, and the development of these asset classes has occurred through a series of boom-and-bust cycles since the middle of the 20th century. Within the broader private equity industry, two distinct sub-industries, leveraged buyouts and venture capital experienced growth along parallel, although interrelated tracks.

First Reserve Corporation is a private equity firm specializing in leveraged buyouts and growth capital investments in the energy sector. First Reserve was founded in 1984 and is the oldest and largest private equity fund dedicated to investments in the energy sector.

<span class="mw-page-title-main">Private equity in the 2000s</span>

Private equity in the 2000s represents one of the major growth periods in the history of private equity and venture capital. Within the broader private equity industry, two distinct sub-industries, leveraged buyouts and venture capital expanded along parallel and interrelated tracks.

<span class="mw-page-title-main">Actis Capital</span> British investment firm focused on the private equity

Actis LLP is a global investment firm focused on sustainable infrastructure, in particular the energy, infrastructure, and real estate asset classes.

Global Infrastructure Partners, LLC (GIP) is an American infrastructure investment fund making equity and selected debt investments across markets worldwide. GIP's main headquarters are located in New York City and its equity investments are based on infrastructure assets in the energy, transport and water & waste sectors. GIP employs approximately 150 investment and operational professionals and has offices in New York, London, Stamford, Sydney, Melbourne, Brisbane, Mumbai, Delhi, Singapore and Hong Kong. In total as of 2023, its portfolio companies employ approximately 100,000 people, according to the company website. BlackRock acquired the company in 2024.

<span class="mw-page-title-main">Legend Natural Gas</span> Independent oil and gas company

Legend Natural Gas is an independent oil and gas company headquartered in the Houston area. Legend Production Holdings LLC, is focused on acquiring and developing long-lived oil and natural gas properties primarily in prolific basins around Texas, including areas of South Texas, the Fort Worth Basin and the Permian Basin.

<span class="mw-page-title-main">Aquila Capital</span> Investment management company, focusing on sustainable investments and real assets

Aquila Capital is an investment management company with headquarters in Hamburg, Germany. It was founded in 2001 by Roman Rosslenbroich and Dieter Rentsch. Aquila Capital focuses on real assets and sustainable investments. The company manages more than €14.7 billion for institutional investors and is among Europe’s leading investment companies in climate change mitigation.

Riverstone Energy Limited is a Guernsey-domiciled, closed-ended company which invests in energy companies and assets worldwide. Established by Riverstone Holdings in 2013, the company's investment manager is Riverstone International Limited, which is majority-owned and controlled by affiliates of Riverstone Holdings. Riverstone Energy Limited is listed on the London Stock Exchange.

ReNew Energy Global plc is a decarbonisation solutions company based in India. It is the first Indian renewable energy company to be listed on NASDAQ. ReNew operates more than 140 projects spread across nine states in India. The company provides decarbonisation solutions through a mix of green hydrogen, data-driven solutions, storage, manufacturing, and carbon markets.

<span class="mw-page-title-main">National Investment and Infrastructure Fund</span> Sovereign wealth fund of India dedicated to infrastructure

National Investment and Infrastructure Fund Limited (NIIFL) is an Indian public sector company which maintains infrastructure investments funds for international and Indian investors anchored by the Government of India. The objective behind creating this organisation was to catalyse capital into the country and support its growth needs across sectors of importance.

Copenhagen Infrastructure Partners P/S ("CIP") is a Danish investment firm specializing in infrastructure investments, particularly wind power. CIP is one of the world's largest dedicated renewables investment firms with €25 billion raised and a project pipeline of 120 GW.

EIG Global Energy Partners is an American investment firm headquartered in Washington, D.C. It focuses on investments in the energy sector. The firm has additional offices in Hong Kong, Houston, London, Rio de Janeiro, Seoul and Sydney.

<span class="mw-page-title-main">Energy Capital Partners</span> American energy investment firm

Energy Capital Partners Management, LP (ECP) is an American investment firm headquartered in Summit, New Jersey. It focuses on investments in the energy sector. The firm has additional offices in New York City, Houston, San Diego, Fort Lauderdale and Seoul.

References

  1. ↑ "P. F. Lapeyre Jr.And Miss HodgesTo Wed in March". The New York Times . 1989-11-19. Retrieved 2016-05-21.
  2. ↑ Did Goldman Goose Oil? Forbes, April 13, 2009
  3. ↑ "The Carlyle Group : The Carlyle Group and Riverstone Holdings Raise $4.5 Billion for Two New Energy Funds: Carlyle/Riverstone Global Energy and Power III - $3.8 Billion; Carlyle/Riverstone Renewable Energy Infrastructure Fund I - $685 Million". Archived from the original on July 8, 2011. Retrieved October 6, 2009.
  4. ↑ MOUAWAD, JAD. "Kinder Morgan Agrees to an Improved Buyout Offer Led by Its Chairman." The New York Times , August 29, 2006.
  5. ↑ Centopani, Paul (2016-05-16). "Buyouts Archive - PE HUB". Buyoutsnews.com. Retrieved 2016-05-21.
  6. ↑ "The Carlyle Group : Portfolio Funds". Archived from the original on September 30, 2011. Retrieved August 30, 2011.
  7. ↑ "Pay to Play Scandal in NY Nabs Another Investment Firm". ABC. 11 June 2009. Retrieved 1 August 2016.
  8. ↑ "Riverstone closes Fund V on $7.7 billion". Private Equity International. 19 June 2013. Retrieved 21 December 2019.
  9. ↑ "Goldman-backed Riverstone readies for make-or-break fundraising: sources". Reuters. 30 August 2018. Archived from the original on August 30, 2018. Retrieved 21 December 2019.
  10. 1 2 "Riverstone seeks $750m for second energy credit fund - exclusive". November 29, 2017.
  11. ↑ Corporation, Decarbonization Plus Acquisition. "Decarbonization Plus Acquisition Corporation Announces Pricing of Initial Public Offering". www.prnewswire.com.
  12. ↑ II, Decarbonization Plus Acquisition Corporation. "Decarbonization Plus Acquisition Corporation II Announces Pricing of Initial Public Offering". www.prnewswire.com.
  13. ↑ "Riverstone raises $7.7 billion for energy fund". Reuters. 19 June 2013. Retrieved 3 August 2016.
  14. ↑ "Riverstone | Investment Strategies". Riverstone LLC.
  15. ↑ "Riverstone Energy confirms London IPO raising £760mln". Proactive. 24 October 2013. Retrieved 21 December 2019.
  16. ↑ "Riverstone Holdings Acquires Pattern Energy Group | Mergr". mergr.com.
  17. ↑ "Our Company". Pattern Energy.
  18. ↑ "Green Initiative Task Force" (PDF). Retrieved 28 June 2017.
  19. ↑ "Riverstone, AES partner for $1B solar projects venture". Reliableplant.com. Retrieved 2017-06-28.
  20. ↑ "Enviva Holdings, LP Announces Recapitalization and New Equity Commitment to Finance Future Growth". www.businesswire.com. July 22, 2020.
  21. ↑ "FreeWire Technologies Secures $50 Million in Series C Funding Round to Scale Ultrafast EV Charging Infrastructure". www.businesswire.com. January 26, 2021.
  22. ↑ "Loanpal | Riverstone Energy Limited". www.riverstonerel.com.
  23. ↑ "Riverstone | Responsible Investing". Riverstone LLC.
This page is based on this Wikipedia article
Text is available under the CC BY-SA 4.0 license; additional terms may apply.
Images, videos and audio are available under their respective licenses.