The private equity giant Kohlberg Kravis Roberts is making a bigger push into the North American energy business, with a fresh $2 billion fund to invest in oil and gas assets.
The investment firm announced on Wednesday that it had finished raising the energy fund from new and existing investors, underscoring the demand for K.K.R.’s strategy of trying to capitalize on the North American oil and gas boom.
Though it is better known for its leveraged buyouts of companies, K.K.R. also has a growing business in energy and infrastructure assets. The firm, with a total $94.3 billion in assets under management as of Dec. 31, now manages $8.7 billion dedicated to energy and infrastructure.
The new energy fund, which had its first close last September with $1.4 billion in commitments, has already been using its capital. To date, it has invested more than $350 million of equity in eight investments.
A big rival, the Blackstone Group, raised its first energy-focused private equity fund in 2012, with $2.5 billion in commitments.
At K.K.R., the energy fund will focus on joint venture drilling investments, acquisitions of minerals and royalties and other deals related to oil and gas resources, the firm said.
Beyond energy, K.K.R. has been getting involved in other new businesses recently, including maritime finance. The firm also operates in areas like credit and hedge funds.
“The energy revolution has created an unprecedented opportunity set, and we are seeing many ways to partner with companies to help develop these important resources,†Marc Lipschultz, the global head of energy and infrastructure at K.K.R., said in a statement.
