“`html
Ellomay Capital Announces Agreement that Ellomay sells Dorad Holdings Based on NIS 4.4 Billion Valuation
In a major strategic move, Ellomay Capital has officially announced and executed an agreement to sell its indirect holdings in Dorad Energy Ltd. The transaction values Dorad Energy at a substantial NIS 4.4 billion (approximately $1.2 billion USD). This divestment is expected to yield approximately NIS 560 million in proceeds for Ellomay.
The deal, finalized in late March 2026, sees Ellomay’s stake being sold to the Luzon Group, its partner in the joint holding company. This sale marks a significant step for Ellomay as it streamlines its portfolio and crystallizes the value of its long-term investment in one of Israel’s largest private power producers.
The Details of the Transaction When Ellomay sells Dorad
The agreement is the culmination of a court-ordered separation process involving Ellomay Luzon Energy Infrastructures, a company held equally by Ellomay Capital and the Amos Luzon Development and Energy Group. This entity holds a 33.75% stake in Dorad Energy Ltd.
The separation process, which concluded on March 27, 2026, under the supervision of Judge Hila Gerstel, paved the way for the transaction. On the same day, a definitive share purchase agreement was signed between Ellomay Clean Energy LP (an Ellomay subsidiary) and the Luzon Group, formalizing the sale of Ellomay’s portion of the holding.
The expected consideration of approximately NIS 560 million reflects Ellomay’s indirect share in Dorad, along with its portion of Ellomay Luzon Energy’s other assets and liabilities.
Dorad Energy’s Financial Performance
The impressive NIS 4.4 billion valuation is underpinned by Dorad Energy’s robust financial health. As highlighted in financial statements published around March 30-31, 2026, Dorad’s performance for the fiscal year ending December 31, 2025, was strong:
- Revenues: NIS 2,650.5 million
- Operating Profit: NIS 385.4 million
These figures demonstrate Dorad’s significant position in the Israeli energy market and provide a solid financial basis for the valuation agreed upon in the sale.
Strategic Implications for Ellomay Capital
This transaction represents a strategic exit for Ellomay Capital from its investment in Dorad. The sale allows the company to unlock significant capital, which can be redeployed to support its core strategic initiatives.
Ellomay continues to focus on developing and operating renewable energy and “clean” energy projects across Europe, Israel, and the United States. The capital injection from this sale provides substantial financial flexibility to accelerate growth in these key areas. By divesting its stake in the conventional power-focused Dorad, Ellomay sharpens its focus on its expanding portfolio of renewable assets, aligning its operations more closely with the global energy transition. The move was also highlighted as a key event in the company’s report on its results for the fourth quarter and full year of 2025.
“`
