Simpson Thacher is representing First Reserve Management, L.P. (“First Reserve”) in connection with its entry into a definitive agreement for the sale of the First Reserve energy infrastructure business to BlackRock, Inc. (NYSE: BLK) (“BlackRock”). The transaction is subject to regulatory approvals and other customary closing conditions. Financial terms of the transaction were not announced.
The energy infrastructure platform at First Reserve has approximately $3.7 billion in committed capital across two funds and has made investments in North America, Latin America, Europe and Southeast Asia. Since 2010, the First Reserve investment team has announced or closed 21 portfolio investments, and investment professionals and support staff from the team will join BlackRock when the transaction closes.
First Reserve is a leading global private equity investment firm exclusively focused on energy, spanning the energy spectrum from upstream oil and gas to processing and distribution, including resources, equipment and services and midstream and downstream.
BlackRock is a global leader in investment management, risk management and advisory services for institutional and retail clients. As of December 31, 2016, BlackRock’s assets under management totaled $5.1 trillion.
The Simpson Thacher team working on the transaction includes Bill Curbow, Chris May, Ben Schaye, Mark Viera and Eric Wisotsky (M&A); Barrie Covit, Crystal Frierson and Jordan Cross (Funds); Brian Robbins, Aimee Adler and Joo Hyun Lee (ECEB); John Creed and Michael Badain (Tax); Lori Lesser and Genevieve Dorment (Intellectual Property); and Michael Naughton (Antitrust).