First Reserve closes energy infrastructure fund on $1.2bn


Connecticut-headquartered private equity firm First Reserve has closed its debut fund focusing exclusively on energy infrastructure on $1.2bn.

The First Reserve Energy Infrastructure Fund is to focus on three areas – contracted midstream resources, including pipelines, storage and LNG facilities, renewable and conventional power generation, and transmission and distribution, including electric and gas utilities.

First Reserve predicts that the fund, which is to be invested in Western Europe and North America, will continue the firm’s approach of seeking strategic joint venture investments.

The first deal made through the fund was a joint venture with solar company SunEdison to acquire utility-scale solar photovoltaic power generation facilities.

The firm, which closed its last buy-out fund on $9bn in 2009, recently acquired European metal refining and recycling company Metallum Holdings for €670m.

The company, which is domiciled in Luxembourg but has most of its operations in Belgium, recycles and sells about one million tonnes of metal annually, sixty per cent of it copper.

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