Waterous Energy Fund, a Calgary-based energy investment firm pursuing investments in the North American energy sector, closed its fourth capital raise at approximately C$345 million.
As a result of the fundraising, the firm has completed the acquisitions of Caltex Resources Ltd. and the Tucker thermal oil property. Following the acquisitions, the firm will amalgamate the acquired firms with Strathcona Resources Ltd. Going forward the amalgamated entity will operate as Strathcona Resources and will be owned in its entirety by WEF and Strathcone employees. Since its founding in 2017, WEF has invested nearly C$2 billion of private equity capital across its four capital raises.
“Caltex and Tucker fit perfectly within Strathcona’s core areas and enhance Strathcona’s free cash flow generation,” commented Adam Waterous. “We believe that Strathcona has become a unique oil and gas company with a concentrated portfolio of low-cost oil and gas assets, integrated operations, a long reserve life index, a deep inventory of organic growth opportunities, and the ability to pay dividends to shareholders over the long-term.”
ATB Capital Markets, BMO Capital Markets, and CIBC Capital Markets acted as financial advisers to WEF on the Caltex acquisition. RBC Capital Markets and TD Securities acted as financial advisers to WEF on the Tucker acquisition. Blakes, Cassels & Graydon LLP served as counsel to WEF for the Caltex acquisition. Stikeman Elliot LLP served as counsel to WEF for the Tucker acquisition and served as fund formation counsel. Atlantic-Pacific Capital served as the global placement agent and advisor to WEF.