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Japan's Orix taking 22% stake, partnering with Ormat Technologies

Published 05/04/2017, 12:36 PM
© Reuters.  Japan's Orix taking 22% stake, partnering with Ormat Technologies
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  • Ormat Technologies (NYSE:ORA) is off an earlier halt and down 1.8% after news that Japanese financial-services firm Orix (NYSE:IX) is taking a 22% stake and entering a strategic partnership.
  • Those 11M shares will cost Orix about $627M, paid to FIMI ENRG L.P., Bronicki Investments and senior management.
  • That's a $57/share price at closing, vs. today's quote of $58.06.
  • Ormat will get exclusive rights to provision equipment for Orix's geothermal energy projects in markets outside of Japan (along with some co-investment rights inside Japan), while Orix will help Ormat obtain financing for its geothermal energy projects.
  • Orix will name three members to an expanded nine-seat Ormat board, with a fourth by mutual agreement between the companies.
  • Now read: Dominion Resources (NYSE:D), Inc. 2017 Q1 - Results - Earnings Call Slides


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