Ormat plans offering
Ormat Technologies, Inc. of Sparks said last week it plans to offer 3.5 million shares of its common stock in an underwritten follow-on public
The company said it also plans to grant the underwriters led by Lehman Brothers Inc. and Goldman, Sachs & Co. a 30-day option to purchase up to 525,000 additional shares of common stock.
Ormat, a geothermal energy company, said it plans to use the proceeds for general corporate purposes including development of geo-thermal plants or the financing of acquisitions.
The stock was trading at $39.60 a share last week.
“If you’re going to produce roughly 80,000 ounces (of gold) a year at $800 an ounce … and gold is at $1,900 or $2,000 per ounce, that’s going to create a tremendous amount of cash flow.”