Diversified Energy, Carlyle Partner for $2B Investment in US Natural Gas, Oil Assets

Diversified Energy Company (NASDAQ:DEC) is one of the most undervalued small-cap stocks to buy according to analysts. On June 24, Diversified Energy and global investment firm Carlyle Group Inc. (NASDAQ:CG) announced a new partnership. The collaboration aims to invest up to $2 billion in existing proved developed producing/PDP natural gas and oil assets across the US.

PDP assets are oil & gas resources that are actively being extracted and sold, have existing infrastructure, and are economically viable under current conditions. The exclusive partnership combines Carlyle’s extensive credit and structuring expertise, primarily through its asset-backed finance/AB team, with Diversified’s operational capabilities and business model.

Carlyle intends to explore opportunities to securitize these assets. This securitization strategy unlocks long-term and resilient financing for this segment of the nation’s energy infrastructure by packaging these assets into tradable financial instruments.

Diversified Energy Company (NASDAQ:DEC) is an independent owner and operator of producing natural gas & oil wells primarily in the Appalachian Basin of the US.

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Disclosure: None. This article is originally published at Insider Monkey.