Deals

Energy Buyout Firms Curb Fundraising Goals, Seek Workarounds

  • Smaller investor pool, slow M&A market hurt ambitions
  • Family offices and hedge funds stepping in to fill void
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Some energy-focused buyout firms are dialing back their fundraising ambitions as institutional investors shy away from fossil fuels.

EnCap Investments and NGP Energy Capital Management — two of the most active buyout firms in the oil patch — are in the market with new funds that are smaller than their last pools of capital, as pension funds, university endowments, insurance companies and other investors retreat from the space.