LS Power Equity Advisors has held a final close on LS Power Equity Partners III, hitting the hard cap of $2.075 billion and beating its $1.5 billion target. Evercore Private Funds Group worked as global placement agent with Magenta Capital Services working on fundraising in the Middle East and Asia.
U.S. power and energy infrastructure manager LS Power Equity Advisors, LLC (together with its affiliates, “LS Power”) announced the final close of LS Power Equity Partners III, L.P. (“Fund III”) at a hard-cap of $2.075 billion, exceeding its initial target of $1.5 billion. Evercore Private Funds Group acted as the global placement agent for the fundraising with Magenta Capital Services supporting the effort in the Middle East and Asia. Kirkland & Ellis, LLP served as legal advisor.
Fund III launched in July 2013 and closed within just seven months, following a first close completion in December 2013 of $1.52 billion. Fund III was oversubscribed, attracting commitments from a globally diverse group of returning and new investors to LS Power, including U.S. and European public and private pension plans, insurance companies, corporations, not-for-profit organizations, endowments, foundations, family offices, and Asian and Middle Eastern sovereign wealth funds.
Paul Segal, Chief Executive Officer of LS Power said, “We appreciate the continued support from our existing investors and the vote of confidence from our new partners. We are very excited about the potential of Fund III.”
Richard Anthony, Chief Executive Officer of the Private Funds Group at Evercore commented, “We are delighted that Fund III generated such high demand. The sheer level of investors’ interest and, moreover, their willingness to move quickly to secure an allocation are undoubtedly testaments to the strength and quality of the LS Power team and track record in an attractive sector.”
Jim Bartlett, President of LS Power Equity Advisors, LLC commented, “We are very pleased with the outcome of the fundraising process. This capital, coupled with our capabilities, positions us well for the opportunities to come.”
About LS Power: Founded in 1990, LS Power is an employee-owned, independent power company with offices in New York, New Jersey, Missouri and California. LS Power is a developer, owner, operator and investor in power generation and electric transmission infrastructure throughout the United States. Since inception, LS Power has developed, constructed, managed or acquired more than 28,000 MW of competitive power generation and 470 miles of transmission infrastructure, for which it has raised over $27 billion in debt and equity financing.
LS Power Equity Advisors, LLC is an established investment manager that has raised $6.36 billion in equity commitments across its three private equity funds. Its focus is to acquire operating power generation assets and utilize its development, operations, power marketing and financial expertise to improve their physical operations and commercial performance. Since its 2005 inception, the private equity investment funds managed by LS Power Equity Advisors, LLC have acquired over 20,000 MW of power generation capacity.
About Evercore Private Funds Group: Evercore’s Private Funds Group (“PFG”) provides comprehensive, global advisory services on capital raising and private equity investment activities for select private fund sponsors. PFG’s clients include general partners pursuing a wide spectrum of alternative investment strategies and asset classes, including leveraged buyouts, growth equity investment, distressed assets, mezzanine capital, infrastructure investment, real estate investment, and venture capital. Employing a distinct and rigorous due diligence process, PFG advises and executes on all aspects of the fundraising process, including competitive positioning and market assessment, preparation of marketing materials, investor introductions and negotiations, and documentation.
About Magenta Capital Services: Magenta Capital Services is an alternative investments advisory firm providing capital raising and related services across private equity, infrastructure and real estate with a focus on sovereign and institutional investors in the Middle East and Asia.