Japanese firm ORIX Corp. will acquire an approximately $627 million ownership stake in Nevada-based geothermal company Ormat Technologies, the companies said on May 4.
ORIX will purchase about 11 million shares of Ormat common stock from FIMI ENRG Limited Partnership, FIMI ENRG, L.P., Bronicki Investments, Ltd., and senior members of management, representing an approximately 22 percent ownership position in Ormat.
“We are delighted to be partnering with Ormat to support the company’s expansion in the global geothermal energy market,” Yuichi Nishigori, head of energy and eco services business headquarters of ORIX, said in a statement. “As one of Asia’s leading investors in the renewable energy sector, and with a growing portfolio of renewable energy investments around the world, we recognize the importance of having clean, reliable, baseload power such as that which geothermal provides, and we believe that the geothermal sector has the potential to become an increasingly large component of the world’s overall energy mix.”
The parties expect closing to occur in 3Q17.