Riverstone Holdings LLC received demand from buyers for the minimum 670 million pounds ($1.1 billion) it seeks to raise in an initial public offering in London of an energy-investment company, according to people familiar with the situation.
The sale of shares in Riverstone Energy Ltd. closes for investors tomorrow and the size of the sale could be increased, said the people, who asked not to be named because the details aren’t public. Riverstone Energy has commitments of up to 550 million pounds from cornerstone investors, according to a statement on Sept. 24.
Riverstone Holdings, which invests mainly in North American energy assets, makes buyout and growth capital investments in the exploration and production, midstream, oilfield services, power and renewable segments of the energy industry. The funds from the IPO will only be invested in exploration and production and midstream, Robert Wilson, who will serve as chairman of Riverstone Energy, said last month.
A representative for Riverstone declined to comment on the demand for the IPO.
Five cornerstone investors who have promised to buy shares along with the parent company Riverstone are AKRC, an affiliate of the Alaska Permanent Fund Corp., KFI, a private investment vehicle of hedge fund manager Louis Bacon, Hunt Oil Co., Casita LP, and the McNair Group, the Sept. 24 statement said.
Banks including Goldman Sachs Group Inc., JPMorgan Chase & Co. and Morgan Stanley are managing the IPO.