ELLO · Ellomay Capital Ltd.

Ellomay Capital has successfully closed the sale of its entire 50% indirect interest in Dorad Energy Ltd. through its stake in Ellomay Luzon Energy Infrastructures Ltd. to the Luzon Group. The transaction values Dorad at NIS 4.4 billion, attributing NIS 742.5 million to Ellomay's indirect holdings before deducting 50% of Ellomay Luzon Energy's net debt of NIS 182.7 million (bank loans minus cash), yielding a final cash consideration of NIS 559.8 million. This divestiture realizes significant value from the investment, as highlighted by CEO Ran Fridrich, who noted it provides enhanced financial flexibility to advance the company's expanding renewable energy portfolio across Europe, the USA, and Israel. Notably, NIS 166.2 million of the proceeds are secured in a pledged bank account to serve as collateral for releasing pledges on the sold shares and facilitating early repayment of approximately NIS 170 million in Series E Secured Debentures due May 24, 2026. Strategically, the deal allows Ellomay to sharpen focus on core operations, including operating solar plants in Spain and Italy, anaerobic digestion plants in the Netherlands, a pumped storage project in Israel, and various solar developments in Italy and Texas. Investors benefit from immediate liquidity infusion without ongoing exposure to Dorad-related risks, such as legal proceedings or operational dependencies mentioned in forward-looking disclosures.