U.S. Geothermal To Be Acquired By Ormat Technologies In $109 Mln Deal

(RTTNews) - U.S. Geothermal Inc. (HTM, UGTH.OB) announced Wednesday that it has entered into a definitive merger agreement under which a wholly owned subsidiary of Ormat Technologies, Inc. (ORA) will acquire the Company for $5.45 per share in an all cash transaction of around $109.9 million

The deal represents a premium of approximately 28.5 percent to the prior day closing stock price on January 23. The transaction is expected to close during the second quarter of 2018.

Doug Glaspey, CEO of US Geothermal said, "This transaction provides compelling value to our shareholders and is a testament to the hard work and efforts of our talented team members."

Director boards of both the companies approved the deal. Certain funds advised by JCP Investment Management, LLC, which own approximately 15 percent of US Geothermal, as well as the directors and officers of US Geothermal have entered into an agreement to vote in favor of the transaction.

Geothermal is currently operating geothermal power projects at Neal Hot Springs,Oregon, San Emidio, Nevada, and Raft River, Idaho for a total designed net output of 45MW that currently generate approximately 38MW net

ROTH Capital Partners, LLC acted as financial adviser and Dorsey & Whitney, LLP acted as legal counsel to US Geothermal.