South Dakota buys stake in Blackstone energy fund on secondary market
South Dakota Investment Council (USA), has invested US$35 in Blackstone Energy Partners II (BEP II), an energy fund managed by Blackstone Group.
The council acquired the commitment on the secondary market from an undisclosed seller. The council already committed US$50 million to the fund in 2014.
The South Dakota Investment Council is responsible for supervising the investment management of the US$10.5-billion South Dakota Retirement System, US$508-million Education Enhancement Trust Fund, US$295-million Dakota Cement Trust Fund, US$260-million School & Public Lands Fund and US$133-million Health Care Trust Fund.
In February 2015, BEP II received significant interest from both existing and new investors, with demand well surpassing the fund’s US$4.5 billion hard cap.
Investors in the fund include a diverse group of U.S. state pension funds, corporate pension funds, sovereign wealth funds, insurance companies, endowments, foundations and family offices.
Like its predecessor fund BEP I, a US$2.4 billion fund that had its final close in September 2012, BEP II will invest in control-oriented equity and equity-linked interests in companies, assets and development projects in the energy and natural resources sector on a global basis.
