EnCap Raises $3.5 Bln With Latest PE Fund

EnCap Investments said late Monday that it has raised $3.5 billion with its latest fund. EnCap Energy Capital Fund VIII was “significantly oversubscribed,” the PE firm said. EnCap is an oil and gas PE firm with offices in Dallas and Houston.


EnCap Investments L.P., an oil and gas private equity firm with offices in Houston and Dallas, announced today that they have closed EnCap Energy Capital Fund VIII, L.P., with $3.5 billion of limited partner capital commitments.  Fund VIII, which reached its $3.5 billion hard cap and was significantly oversubscribed, provides growth capital to proven management teams focused primarily on the upstream sector of the oil and gas industry in North America.  EnCap is led by the firm’s four Managing Partners, David B. Miller, Gary R. Petersen, D. Martin Phillips and Robert L. Zorich.  Since its inception in 1988, EnCap has managed approximately $11 billion of capital commitments, providing growth capital to over 175 companies and establishing itself as the leading source of private equity to the oil and gas industry.

David Miller, a Managing Partner based in the firm’s Dallas office, said, “We were very fortunate in a tough fundraising environment to be so substantially oversubscribed, and we couldn’t have done it without the strong support of our long-standing investor base.  There’s no question we benefitted from the fact that we’ve distributed almost $4 billion to our institutional partners since 2008, while continuing to generate strong returns.”  Marty Phillips, a Houston-based Managing Partner, said, “We also had the opportunity to add a cadre of new and highly-sophisticated institutional partners, both domestic and international, to our investor base, and their significant participation in Fund VIII is very gratifying to us.”  To date, EnCap has committed approximately $700 million to six portfolio companies in Fund VIII, including Common Resources II, Lone Star II, Caiman Energy, Talon Oil & Gas II, Eclipse Resources and Venado Oil & Gas.