Guernsey's position as a successful home for new managers has been underlined by the launch of an energy fund which is believed to be the largest fundraising by a start up in recent years.
Blue Water Energy LLP has launched the Guernsey registered, closed-ended Blue Water Energy Fund I. Its first closing in September 2012 was oversubscribed and it closed at its hard cap in May 2013 raising $861 million.
The fund will invest in transactions across the global energy supply chain with a focus on mid-market, growth-oriented investments in European-domiciled companies. With significant investing experience in this sector, the Blue Water Energy team has invested in, acquired or established more than 28 companies (including add-on transactions).
Blue Water Energy was founded by partners Jerker Johansson (former CEO of UBS investment bank), Tom Sikorski (former London Head of First Reserve Corporation), and Graeme Sword (former Partner and Head of 3i Oil, Gas and Power) and is supported by six other investment professionals. They have attracted a broad, well diversified base of investors including pension funds, sovereign wealth funds, endowments, foundations, funds of funds, insurance companies and family offices from the U.S., Europe and Asia.
Andrew Boyce, Corporate Partner and David Crosland, Senior Associate (now Partner), from Carey Olsen in Guernsey worked with Blue Water Energy LLP throughout the project advising on all Guernsey aspects of the structuring, establishment and closing of the fund.
Advocate Boyce said: "The success of the launch of the Blue Water Energy Fund is significant in a challenging fund raising environment as it demonstrates that there is still an ability to attract substantial investor commitments even if you are a new entrant to the market provided you have a quality team, an attractive strategy and an established track record.
"Carey Olsen is seeing increased investment activity in natural resources as world demand for traditional energy commodities, such as oil and gas, continue to grow and Guernsey is well thought of for this work. Investors and private equity firms are familiar and comfortable with Guernsey's fund structures; our robust regulatory policies and expertise are important elements when firms, like Blue Water Energy, choose where to establish their funds."
Asante Capital Group and HSBC acted as exclusive placement agents and Kirkland & Ellis providing UK legal advice.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.
For more information about Guernsey's finance industry please visit www.guernseyfinance.com.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.
