"Zorlu Holding's decision regarding Israel"

07.03.2025 11:45

Zorlu Energy announced that it will sell its 25% stake in Dorad Energy Limited, which is located in Israel.

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Zorlu Energy announced that it has decided to completely divest its 25% stake in its Israeli subsidiary, Dorad Energy Limited, to the Public Disclosure Platform (KAP). It was stated that an agreement was reached with the Israel-based Phoenix Group for the sale of the shares as a result of approximately three months of negotiations. It was noted that the sale transaction would be completed subject to the approval of the Dorad Board of Directors and the acquisition of the necessary legal permits.



KAP STATEMENT



In the statement made to KAP, it was expressed that after the completion of the sales process, Zorlu Energy would transfer all its shares in Dorad and that its stake in the company would be reduced to zero.



Additionally, it was emphasized that according to the existing shareholders' agreement, other partners have a preemptive right on 15% of the 25% stake. It was recorded that if this right is not exercised, all of the shares will be transferred to the Phoenix Group under the same conditions.



The statement included the following expressions: "As Zorlu Energy Group, we shared with the public last year that the transfer of all our shares in the Ashdod and Ramat Negev Natural Gas Power Plants in Israel, where we have been a minority partner since 2003, has been completed. In the meeting of our Board of Directors on 04.03.2025; it has been decided to sign a Share Purchase Agreement with the Israel-based Phoenix Group regarding the sale of all our shares corresponding to 25% of the capital of Dorad Energy Ltd. (Dorad) as part of the investment policies and strategies of the Zorlu Group, including our Company, within the scope of our special situation announcement dated 09.08.2024, and as a result of approximately 3 months of negotiations.



The planned share transfer is subject to the approval of the Dorad Board of Directors and will take place through contractual price adjustments once the necessary legal permits are obtained and contractual conditions are fulfilled, at which point we will no longer have any stake in Dorad's capital.



According to the Shareholders Agreement among Dorad's current partners, there is a preemptive right for other partners on the 15% portion of our 25% stake, and if the preemptive right is not exercised, all of our shares will be transferred to the Phoenix Group under the same conditions.



With the completion of these transfer transactions, we will have no ties to the aforementioned power plants in Israel. Thus, we would like to inform the public that as Zorlu Energy, in line with our sustainability strategy, we will continue to accelerate our investments focused on renewable energy sources by completely removing fossil fuel-based energy investments from our portfolio."



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