Japanese financial services conglomerate Orix Corp. has agreed to buy a 22.1 percent stake in Nevada-based geothermal energy company Ormat Technologies for $627 million.
The sellers were FIMI and Bronicki Investments.
Under related agreements, Orix will be able to designate three persons to be appointed to an expanded nine-person Ormat board. In addition, Ormat will have certain rights to serve as technical partner and co-invest in Orix Geothermal Energy projects in Japan.
ORIX is one of Asia’s biggest investors in renewable energy. It looks to expand the geothermal power portfolio as the sector is becoming increasingly large as a component of the world’s overall energy mix.