Private equity firm Kohlberg Kravis Roberts & Co. (KKR) said it plans to exit its investment in privately held East Resources Inc. in connection with the announcement last week that Royal Dutch Shell plc has agreed to pay $4.7 billion to acquire East Resources' principal subsidiaries (see Daily GPI, June 1). KKR invested $350 million in Warrendale, PA-based East Resources last year (see Daily GPI, June 10, 2009). That investment "was a catalyst for the growth and development" of East Resources, according to KKR, which said the company succeeded in derisking a substantial part of the Northeastern Marcellus Shale area, developed a critical supply of natural gas to serve the region and saw its annual capital budget grow from $100 million to $350 million over the past year.

©Copyright 2010 Intelligence Press Inc. All rights reserved. The preceding news report may not be republished or redistributed, in whole or in part, in any form, without prior written consent of Intelligence Press, Inc.