A private equity firm where former BP boss Lord Browne is a partner is to launch a new £550milion energy vehicle on the London Stock Exchange.
Riverstone confirmed today the new Riverstone Energy company was looking to launch on the market on October 29.
The new company will invest in the global energy sector, focusing on exploration and production opportunities.
The company said it had received binding commitments from five cornerstone investors to invest up to £550million when the company launched – private investment firm KFI, Hunt Oil, Casita, management services firm McNair Group and Alaskan group AKRC.
It will look to sell up to £670million in shares, and will invest in new projects alongside Riverstone’s $7.7billion private equity group Fund 5.
Lord Browne will sit on the board of the new entity, along with former Anadarko chairman Jim Hackett. Sir Robert Wilson, former head of BG Group, will serve as chairman, while the board will also include Riverstone founders David Leuschen and Pierre Lapeyre.
“Riverstone Energy Limited presents a unique opportunity for public market investors to gain exposure to the energy sector via Riverstone’s highly experienced team,” said Sir Robert Wilson.
“This is the first time that Riverstone’s single-industry focus, depth of experience and strong track record has been accessible to public market investors, creating a compelling and attractive investment proposition.”
Riverstone, which backs controversial fracking firm Cuadrilla, spent £2.5billion earlier this year buying oil and gas fields over a two million acre stretch of the Gulf of Mexico from Apache Corp.
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