Houston, Texas (June 27, 2006) -- Haddington Ventures, L.L.C. announced today the closing of a new private equity fund with total committed capital of $182 million to be used for investments in the North American midstream energy industry. The new fund and its related vehicle are Haddington Energy Partners III, LP (Fund III).
Fund III illustrates Haddington Ventures’ continued commitment to building infrastructure in the midstream energy business and focuses on natural gas gathering, separation, treating, processing, compression, storage and intrastate pipelines. Fund III is seeking equity investment opportunities developed by experienced management teams in the $20-$50 million range with total enterprise value of $100-200 million. The Fund will also consider initial investments as low as $2-5 million, depending upon growth potential and follow-on investment opportunities.
Two important factors that set Haddington Ventures and Fund III apart from other private equity funds are operating expertise and the ability to build or buy facilities. Fund III will develop midstream assets and assume substantial construction risk as needed and will acquire assets or companies with strong upside potential. In addition, Fund III will target smaller, under-utilized assets needing operating improvements with the goal of making incremental investments to expand or improve the facilities to realize their full value.
A private equity firm specializing in the midstream energy industry, Houston-based Haddington Ventures has raised more than $320 million of capital since its formation in 1998. The professionals who comprise Haddington Ventures’ investment team have more than 100 combined years of operating experience in the midstream industry as well as a long history of working together. Among the participating investors in Haddington Ventures are large insurance companies, public and private pension groups, commercial banks and high net worth individuals.