Ormat closes acquisition of storage/ demand respond market company
Ormat Technologies has closed the acquisition of Viridity Energy, a company focused on energy storage and the demand respond market.
Ormat Technologies, Inc. announced that it has closed the acquisition of substantially all of the business and assets of Viridity Energy, Inc. (VEI). We reported on the deal earlier.
VEI is a privately held Philadelphia-based company with nearly a decade of expertise and leadership in demand response, energy management and storage. Using proprietary software and solutions, VEI serves primarily retail energy providers, utilities, and large industrial and commercial clients.
Pursuant to the Asset Purchase Agreement, Ormat paid an initial consideration of $35 million. Additional contingent consideration will be payable in two installments upon the achievement of certain performance milestones measured at the end of fiscal years 2017 and 2020. The acquired assets of VEI will be injected into a newly incorporated company named Viridity Energy Solutions Inc. (Viridity), which is a wholly owned subsidiary of Ormat.
“The successful completion of this acquisition is an important milestone in our strategic plan to expand our presence in the growing energy storage and demand respond markets,” noted Isaac Angel, Chief Executive Officer. “We believe that the integration plan we developed will combine Ormat’s and Viridity’s business’ expertise and resources to accelerate our long term growth”
Source: Company release via Stockhouse