Guernsey Trio Advise on $1.2 billion LSE Fund Listing

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Riverstone Energy Limited (REL) is a newly-formed, Guernsey-domiciled, closed-ended company, and has been advised by offshore law firm Carey Olsen, Heritage International Fund Managers (Heritage) and EY on the Guernsey aspects of its cross-border initial public offering (IPO) on the London Stock Exchange (LSE) Main Market which raised $1.2 billion (£760.3 million).

Admission of the shares occurred on 29 October, which represents the biggest cross-border IPO on the LSE since November 2012 and is the most recent entry in a series of high-profile energy related vehicles to launch from Guernsey this year.

REL has been established by New York-based energy and power focused private equity firm, Riverstone Holdings LLC (Riverstone). The investment objective is to generate capital growth by investing in the global energy sector with a particular focus on opportunities in the global exploration & production and midstream energy sub-sectors. REL will co-invest on certain investments alongside Riverstone's $7.5bn Fund V which closed in June.

The IPO by REL has been made by way of a successful placing, an offer for subscription and a private placing to selected cornerstone investors of ordinary shares.

Carey Olsen Guernsey partner Tom Carey, senior associate Oliver Quarmby and associate Imogen Payne advised on the Guernsey law aspects of the IPO.

Heritage has been appointed as the administrator of REL and the underlying structural entities. EY led by partner Mike Bane and supported by Chris Bold, Transactions Manager, have been appointed as reporting accountants for the company.

Riverstone International Limited, an entity majority-owned and controlled by affiliates of Riverstone, has been appointed as the sole investment manager of REL.

Advocate Carey said: "We are very pleased to have assisted Riverstone with their first Guernsey based investment vehicle which is further evidence of the island's pre-eminent position as the jurisdiction of choice for structures of this nature.

"This continues Carey Olsen's track record of bringing Guernsey domiciled energy companies to market this year."

Heritage's managing director, Mark Huntley, said: "REL's IPO is impressive. We look forward to working with the board and Riverstone to deliver a successful return for investors in this interesting sector.

“We are delighted to work with the high calibre team at Riverstone and with their advisors. We are very pleased that Riverstone chose Guernsey for their first investment vehicle in the listed arena. This launch is the latest in a number of listed energy funds for Heritage".

EY’s Partner and Head of Asset Management, Mike Bane concluded: “Riverstone's choice of Guernsey for this important new Company underlines the outstanding strength of the Island's advisory and service capabilities. We were pleased to be able to bring the deep insight of our global transaction advisory network to the transaction and look forward to continuing to work with the Company and its other advisors in the future."