First Investment for Ashtrom Group and Kenlov Renewable Energy in utility-scale solar in the US - acquisition of a devel

TEL AVIV, Israel, Dec 16, 2021 /PRNewswire/ -- Ashtrom Group LTD. ("Ashtrom") (TASE: ASHG), one of Israel's leading construction and property companies, and Kenlov Renewable Energy ("Kenlov"), an international originator, investor and Independent Power Producer ("IPP") announced the signing of a definitive agreement to acquire four solar projects in the US with planned capacity of 1.1 GWdc from the Texas-based developer OnPeak Power ("OnPeak"), and an exclusive development services agreement to target an additional development pipeline of utility-scale projects across the US.

Three of the first acquired projects with planned capacity of c. 900 MWdc are located in Texas (TX) while the fourth project is located in Idaho (ID). The projects are at various development phases, with the first project planned to reach FNTP late next year.

The acquisition marks the commencement of a newly formed joint venture company, KARE LLC, between Ashtrom through its wholly-owned subsidiary Ashtrom Renewable Energy, and Kenlov Renewable Energy to develop, finance, construct and own utility scale projects in the US, and the start of a long-term development relationship with OnPeak.

"The acquisition of the first projects in the US and the development framework partnership with Kenlov and OnPeak mark our first entry for Ashtrom Group to the renewable energy market in the US", said Rami Nussbaum, Ashtrom Group Chairman. "We believe that the US renewable energy sector will continue to grow in the coming years and we will target further investments and large-scale development partnerships in the US and other countries in the near future. The vast experience of Ashtrom Group in development, financing, and construction of large-scale infrastructure projects will help to build a strong and sizeable energy arm within our group".

Kenlov's CEO Olivier Konig said "we're very pleased to have brought together our partners Ashtrom Group, one of the leading companies in Israel, and OnPeak Power an experienced and entrepreneurial developer. Kenlov is a fast-growing company, always on the lookout for opportunities and talent. We believe in creating value with our partners and we're looking forward to many successes with Ashtrom and OnPeak over the coming years. The US is accelerating its energy transition through the bipartisan infrastructure package and state-level renewable energy targets, it's an exciting time and we're now very much part of it."

"We are excited to partner with Kenlov and Ashtrom to develop renewable power throughout the US", said Ian Davis, co-founder of OnPeak Power. "We believe this partnership creates a powerful strategic opportunity to combine our unique strengths to grow the renewable energy sector. OnPeak looks forward to expanding its platform through this relationship and working together to lead the energy transition in the US."

Morgan Lewis served as legal counsel to Ashtrom Renewable Energy and Kenlov. Green Giraffe served as financial advisor and Holland & Knight served as legal counsel to OnPeak.

About Ashtrom

Ashtrom Group is one of the leading construction and real estate companies in Israel, traded on the Tel Aviv Stock Exchange (TASE) and listed on the TA 35 index. The group operates in a number of sectors, including construction and infrastructure; Concessions, including participation in large-scale PPP projects and national tenders; Industries, including production, importing, marketing and sale of raw materials for the construction industry; International construction and infrastructure, activity carried out by Ashtrom International, which includes construction and infrastructure projects overseas; Residential development in Israel, through its subsidiary Ashdar; Real estate investment and development, through the subsidiary Ashtrom Properties; and Renewable Energy including development and investment in large-scale renewable energy projects in the US, Europe and Israel. The chairman of Ashtrom Group is Mr. Rami Nussbaum. The CEO of the company is Mr. Gil Gueron. Ashtrom Renewable Energy is managed by Yitsik Marmelshtein.

About Kenlov Renewable Energy

Kenlov Renewable Energy is an Independent Power Producer (IPP) focused on mature technologies such as onshore wind, solar and storage projects, in Europe and the US. Kenlov Renewable Energy is the partner of choice for developing early-stage renewable energy projects, creating better outcomes for developers and investors.

About OnPeak Power

OnPeak Power, LLC (OnPeak) is an industry leading privately held renewable energy company based in Austin, Texas. OnPeak specializes in renewable energy project development and asset optimization. OnPeak is a full cycle development company performing site identification, origination and development through construction and into operations. OnPeak has developed a 255MW project currently in operation and is actively developing early to mid-stage solar projects for the North American Market.

Contact:

Yitsik Marmelshtein, CEO, Ashtrom Renewable Energyyitsikm@ashtrom.co.il +972-3-6231447

Olivier Konig, CEO, Kenlov Renewable Energyolivier@kenlovcapital.com +972-3-7527080

Ian Davis, VP Finance, OnPeakidavis@onpeakpower.com +1-512-568-3228