The US Securities and Exchange Commission (SEC) has issued a notice of application for an order for exemptive relief that will permit Triloma EIG Global Energy Fund and Triloma EIG Global Energy Term Fund I (collectively, the Funds) to co-invest in portfolio companies with each other and with certain affiliated investment funds.
The Funds expect the SEC to grant an order for exemptive relief in approximately 30 days, allowing the Funds to participate in directly originated investment transactions, including those alongside EIG's private funds, subject to the conditions in the order.
"We feel the current energy market conditions are creating investment opportunities in both privately negotiated transactions and secondary market transactions. We believe the exemptive relief order will generate greater deal flow, broaden our market relationships and allow us to be more selective in choosing investments that provide the most attractive risk-adjusted returns," says R Blair Thomas, CEO of EIG Global Energy Partners.
"We employ a disciplined, value-oriented investment approach for the Funds that is designed to maximise current income and minimise the risk of capital loss," says Deryck Harmer, president and CEO of the Funds. "We believe that co-investing in transactions with EIG provides greater access to energy investments that are structured with favourable protections, including asset-based collateral and rigorous covenants."
