Ormat Technologies secures US$75 million from BHI

With over five decades of experience, Ormat Technologies, Inc. is a leading geothermal company and the only vertically integrated company engaged in geothermal and recovered energy generation (REG), with robust plans to accelerate long-term growth in the energy storage market and to establish a leading position in the US energy storage market. Ormat has engineered, manufactured and constructed power plants, which it currently owns or has installed for utilities and developers worldwide, totalling approximately 3200 MW of gross capacity. Ormat’s current total generating portfolio is 1385 MW with a 1215 MW geothermal and solar generation portfolio and a 170 MW energy storage portfolio.

Ormat will use the proceeds for general corporate purposes, including the 4 January 2024 acquisition whereby Ormat purchased the US geothermal portfolio of Italian power and gas giant, Enel Group for US$271 million. BHI will also continue its long-standing relationship with Ormat, serving as a depository bank while maintaining an active dialogue with the entire global management team as the company continues to pursue its strategic portfolio expansion and assess ways that their equipment can further optimise facility operations.

“Ormat’s highly experienced management team has positioned the company with a strong balance sheet and capital structure along with a geographically diverse plant portfolio, supported by long-term Power Purchase Agreements, which provide highly visible, secure cash flows,” said Uri Shusterman, First Vice President & Head of International C&I at BHI. “We anticipate that this strategic foresight, coupled with favourable regulatory and policy tailwinds, will help further propel the company as it continues to pursue expansion plans and strategies to utilise their equipment to enhance the efficiencies and output of their growing portfolio of power plant assets.”

“Working with the team at BHI, it became clear that they had a comprehensive understanding of not only the scale of our operations today, but also aligned with our outlook on how we plan to fund our expansion by developing new assets and deploying our technology to enhance their operation. We’re excited for our continued partnership and growth ahead,” added Assi Ginzburg, Chief Financial Officer, Ormat.

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