Ellomay Capital Secures NIS 559.8 Million in Energy Sale to Clear Debt Early
Tel Aviv, Sunday, 10 May 2026.
Ellomay Capital sold its energy stake for NIS 559.8 million, strategically using the proceeds to clear NIS 170 million in debt early and fund future renewable projects.
Unlocking Capital Through Strategic Divestiture
On May 10, 2026, Ellomay Capital Ltd., trading on both the NYSE American and the Tel Aviv Stock Exchange under the ticker symbol ELLO, formally announced the completion of the sale of its 50% interest in Ellomay Luzon Energy Infrastructures Ltd. [1]. The equity was acquired by the Amos Luzon Development and Energy Group Ltd., commonly referred to as the Luzon Group [1]. Because Ellomay Luzon Energy’s primary asset is a 33.75% stake in Dorad Energy Ltd., the final purchase price of roughly NIS 559.8 million was determined based on an overall enterprise valuation of Dorad Energy standing at NIS 4.4 billion [1]. The transaction officially closed after the company confirmed on May 7, 2026, that all necessary regulatory and financial conditions had been fulfilled [2].
Executing Early Debt Repayment
The immediate priority for the newly acquired capital is the restructuring of Ellomay’s corporate debt. To facilitate this, the company deposited NIS 166.2 million of the sale proceeds into a bank account pledged to the trustee representing the holders of its Series E Secured Debentures [1]. By substituting the previously pledged Ellomay Luzon Energy shares with this direct financial collateral, the company successfully released the liens on the shares, related capital notes, and shareholder loans [2].
Reinvesting in a Global Renewable Portfolio
Eliminating this debt burden frees up significant resources for Ellomay Capital to advance its extensive pipeline of renewable energy and power sector projects, an operational focus the company has maintained across Europe, the United States, and Israel since 2009 [1]. In the solar sector alone, the company’s portfolio is substantial; it includes approximately 335.9 megawatts (MW) of operating solar power plants in Spain [1]. In Italy, Ellomay holds a 51% stake in roughly 38 MW of operational solar facilities, with an additional 160 MW under construction and 210 MW that have reached a “ready to build” status [1]. Operations in the United States are similarly expanding, featuring a footprint in the Dallas, Texas metropolitan area that totals 63 MW across various stages of development, which includes 38 MW connected to the grid, 11 MW in a test-run phase, and 14 MW currently under construction [1].