Houlihan Lokey Inc
HLI
Financials
2
exclusion reasons
2 themes
This page is part of our public exclusion list — a transparency tool that shows which companies we screen out and why. It is not investment advice, and it is not an accusation. But it is subject to change as our understanding of the facts evolves.
Houlihan Lokey is a global investment bank that provides financial advisory services, including mergers and acquisitions (M&A) and capital raising, to clients across industries. A material part of its business involves advising on transactions within the fossil fuel sector. The firm has served as a financial advisor to numerous oil, gas, and coal companies, facilitating deals that enable the expansion, restructuring, or sale of fossil fuel assets. This advisory role is integral to the functioning and strategic direction of the fossil fuel industry.
Specific engagements highlight this activity. For instance, court documents from the *In re Tronox* litigation note Houlihan Lokey's role as an advisor to RWEST, a holding company within the Kerr-McGee corporate structure involved in the controversial separation of environmental liabilities from profitable assets. Furthermore, the firm actively markets its expertise in energy sector transactions, publishing studies and best practices aimed at clients investing in and valuing energy assets, including those in transition. This positions Houlihan Lokey as a key enabler of capital flows and strategic decisions within the fossil fuel economy.
Houlihan Lokey is an investment bank that provides financial advisory services, including to companies in environmentally sensitive sectors. The firm has advised on multiple transactions involving fossil fuel infrastructure and extractive industries. In 2022, Houlihan Lokey served as financial advisor to Summit Midstream Partners on the sale of its Uinta Basin oil gathering system, a deal involving pipeline assets in a region with documented ecological impacts from drilling. The firm has also advised on transactions for oil and gas producer Bruin E&P Partners and provided restructuring advice to offshore drilling company Seadrill.
While Houlihan Lokey does not directly cause environmental damage, its financial services facilitate capital flows to and provide valuation support for companies directly engaged in operations linked to oil spills, habitat destruction, and soil contamination. The available evidence does not specify Houlihan Lokey's direct involvement in a specific incident of environmental destruction, such as a named spill or Superfund site. The exclusion appears to be based on the firm's role in enabling and sustaining the business models of companies responsible for such damage. Further evidence detailing a specific advisory role tied to a company with a documented major environmental incident would strengthen this narrative.
Research Sources
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Companies appear on our exclusion list based on our investment judgment — not because they've done anything illegal. This is a difference of values and opinion, not an accusation of wrongdoing. Exclusion does not constitute a recommendation against investing in any company, and absence from the list does not constitute a recommendation to invest.
This information is provided for educational and transparency purposes only and should not be relied upon as investment advice. Data is drawn from independent watchdogs, NGOs, government registries, and Ethical Capital's ongoing research — see Research Sources for the full list.
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