U.S. Geothermal Inc. announced today that it has entered into a definitive merger agreement under which a wholly owned subsidiary of Ormat Technologies, Inc. will acquire the company for $5.45 per share in an all cash transaction.
The agreement, which has been unanimously approved by both companies' Boards of Directors, represents a premium of approximately 28.5% to the prior day closing stock price on January 23rd, 2018.
Statement by Doug Glaspey, a Founder and Chief Executive Officer of US Geothermal
"We are proud that Ormat, the industry leader in geothermal development, recognized our company's value and have confidence in their ability to successfully develop the US Geothermal asset base," said Doug Glaspey, CEO of US Geothermal. "This transaction provides compelling value to our shareholders and is a testament to the hard work and efforts of our talented team members."
Statement by Ormat
"US Geothermal has developed a high-quality portfolio of geothermal assets," said Isaac Angel, CEO of Ormat Technologies. "As part of Ormat, we will leverage our core capabilities to help improve generation and enhance efficiency of these assets while also working to advance expansion opportunities. With this transaction, we demonstrate again the implementation of our business strategy to grow our business with accretive M&A transactions."
