HedgeCo.Net — LS Power has closed LS Power Equity Partners VI with total commitments of approximately $6 billion, the New York-based power and energy infrastructure investor announced on Tuesday. The fund launched in January 2026 and was oversubscribed and fully allocated against its hard cap by July, well above its initial $4 billion target.
Fund VI will invest in assets, platforms and companies across renewables, conventional generation, energy storage, distributed energy resources and other critical energy infrastructure in North America. Deployment has already begun: LS Power has committed about $1.7 billion from the fund to its pending acquisitions of gas-fired generation assets from Constellation Energy, which together will form a roughly 5-gigawatt platform across the PJM market in the Mid-Atlantic and the ERCOT market in Texas.
The raise more than doubles the firm’s previous flagship. Fund V gathered $2.7 billion in 2024 and is fully deployed. Across its flagship funds and other partnerships, LS Power has raised about $19.8 billion of equity commitments since inception. Fund VI drew pension funds, insurers, sovereign wealth funds, asset managers, foundations, endowments, family offices and private wealth investors, and the firm said it expanded its investor base into new markets. Evercore Private Funds Group, Leader Capital Markets and Magenta Capital Services were global placement agents, and Willkie Farr & Gallagher was fund counsel.
“This fundraise is a strong endorsement of the team, strategy, and platform we have built at LS Power over more than three decades,” said chief executive Paul Segal. Chief operating officer Darpan Kapadia said meeting demand for reliable, affordable power “requires more than capital,” pointing to the firm’s development and operating experience.
The close is another data point in a bifurcated fundraising market, where capital is concentrating in managers with clear exposure to power demand from data centers, electrification and grid reliability. The early allocation to dispatchable gas generation is notable: it shows investors are willing to back conventional assets alongside renewables when the thesis is reliability and scarcity of capacity. Limited partners will be watching entry prices, since competition for generation assets has intensified and returns will depend heavily on power-market pricing in PJM and ERCOT.