EIG closes Fund XVI on $6bn

The fund launched earlier this year with a $4.25 billion target, according to a statement from the firm.

Fund XVI is EIG’s largest fund to date and includes commitments from about 150 limited partners from 18 countries. About $4 billion of the commitments came from existing limited partners and the remaining capital coming from new investors, according to Derek Lemke-von Ammon, EIG managing director and head of capital development.

EIG Fund XVI will make hybrid debt and structured equity investments in energy companies and projects and has completed one investment to date.

“We’ve already invested approximately $500 million to complete development of the Açu Superport project in Brazil, a key piece of energy infrastructure related to the development and commercialization of Brazil’s massive offshore oil reserves”, EIG chief executive officer Blair Thomas said in the statement.

The Washington State Investment Board committed $200 million to the fund last month and The New Mexico State Investment Council invested $100 million in May, Private Equity International reported earlier.

Credit Suisse was EIG’s lead placement agent for the fund.

EIG’s prior fund closed on $4.12 billion in 2011, nearly double its $2.5 billion target. Fund XV was EIG’s first independently raised vehicle since completing its spin-out from Los Angeles-based asset manager TCW in December 2010.

Since its founding in 1982, EIG has invested more than $15.7 billion in the energy sector. The Washington DC-based firm is led by Thomas, chief investment officer Kurt Talbot and chief operating officer Randall Wade, according to its website.