Houlihan Lokey Advises Fundare

Houlihan Lokey is pleased to announce the placement of a credit facility to Fundare Resources (Fundare), a portfolio company of Woodward Diversified Capital (WDC). As part of this transaction, all of Fundare’s businesses, including Fundare Redtail, LLC (Redtail), Rangeview Green River, LLC (Rangeview), and Moonrise Midstream, LLC (Moonrise), as well as their wholly owned subsidiaries, will be merged into one entity. Proceeds from the credit facility will be utilized to retire all existing debt and fund the future development of Fundare’s oil and gas properties and Moonrise’s growth projects. The transaction closed on May 20, 2024.

Founded in 2021 and headquartered in Denver, Colorado, Fundare is a premier operator of long-life, low-risk producing properties. Fundare leverages strong operational expertise to maximize shareholder returns through the implementation of advanced completion technologies and prudent, low-cost operatorship.

Fundare owns and operates the Redtail asset, which focuses on exploration and production in the Colorado DJ Basin. In addition, Fundare owns and operates Moonrise, which provides all oil and gas gathering and processing for Redtail, as well as third-party oil and gas producers in the area. Rangeview is an exploration and production asset in Wyoming’s Green River Basin, focused primarily on gas production. Following the transaction, Redtail, Rangeview, and Moonrise emerged as a consolidated entity owned and operated by Fundare. The transaction extinguishes outstanding indebtedness under the three entities and provides additional capital for further development.

Houlihan Lokey served as the exclusive placement agent to Fundare, assisting the company in arranging, structuring, and negotiating the financing. Houlihan Lokey ran a targeted process in the private credit market resulting in significant competitive tension driving lenders to offer nontraditional concessions. Given the high demand from lenders, the final terms resulted in an upsized facility at competitive pricing.