US: Ormat set to complete acquisition of US Geothermal

Ormat Technologies, announced that it has closed the previously announced acquisition of US Geothermal (USG), for approximately US$110 million, comprising US$106 million funded in cash by the Company to acquire the outstanding shares of common stock of USG, and US$4 million, funded from available cash of USG, to cash-settle outstanding in the money options to acquire outstanding shares of USG.

As a result of the acquisition, Ormat now owns and operates US Geothermal’s three power plants at Neal Hot Springs, Oregon, San Emidio, Nevada and Raft River, Idaho with a total net generating capacity of approximately 38MW.

In addition, Ormat now owns development assets held by US Geothermal, which include a project at the Geysers, California; a second phase project at San Emidio, Nevada; a greenfield project in Crescent Valley, Nevada; and the El Ceibillo project located near Guatemala City, Guatemala.

“The acquisition of US Geothermal expands our geothermal portfolio and our prospect inventory. We see many opportunities to improve efficiency and capacity over the next couple of years,” said Isaac Angel, CEO of Ormat Technologies. “As a leading vertically integrated geothermal company, we expect the integration will be seamless. We are certain that together with the skilled employees that we will retain we can achieve great accomplishment and improve the profitability of these operations and demonstrate the accretive value of this acquisition in the near term.”

Full Content: Globe Newswire

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