Hedge fund Angelo Gordon & Co. aims to raise as much as $1.5 billion to buy the debt of distressed oil and gas companies, Reuters reported. The U.S. shale boom, financed by access to cheap capital, is drying up as weak oil and gas prices and investors’ reluctance to refinance debt has companies cutting production and some seeking protection from creditors. U.S. output is expected to fall as much as 2 million barrels per day this year. The Angelo Gordon fund will be called AG Energy Credit Opportunities Fund IV LP and will seek to acquire distressed debt in the oil exploration and production, pipeline and services sectors.
