Kenon Holdings Ltd.

Kenon Holdings Ltd. announced that its subsidiary, OPC Energy Ltd., has received the necessary tariff approval from the Israeli Electricity Authority. This approval is specifically for the Hadera Power Plant Expansion Project, marking a significant step forward for the project.

Kenon Holdings' subsidiary, OPC Energy Ltd., announced securing a construction finance agreement of approximately $1.7 billion from Bank Leumi le-Israel B.M. for its Hadera Power Plant Expansion Project. Additionally, OPC entered into an engineering, procurement, and construction (EPC) agreement for the 850 MW combined-cycle natural gas-fired power plant. The total estimated construction cost for the project is between $1.7 billion and $1.8 billion, with completion scheduled for 2030.

Kenon Holdings reported Q1 2026 results, with its consolidated profit increasing to $34 million from $27 million year-over-year. Its subsidiary, OPC, experienced a decline in Q1 2026 net profit to $14 million from $25 million, despite a significant revenue increase to $317 million and a rise in Adjusted EBITDA to $124 million. Kenon also distributed a $200 million cash dividend in April 2026 and executed a collar transaction for 2% of OPC shares to enhance liquidity and manage market exposure.

Kenon Holdings Ltd. announced a collar transaction involving 6,000,000 ordinary shares of OPC Energy Ltd., representing approximately 2% of OPC's outstanding shares. This transaction, which has a 3-year term and a reference price of NIS 124, is designed to enhance Kenon's financial flexibility by preserving upside potential while limiting downside risk. Kenon will not pay any premium or fee and can elect cash or share settlement at maturity.

Kenon Holdings Ltd.'s subsidiary, OPC Energy Ltd., announced that its project company, Hadera 2, has been granted a building permit for the Hadera 2 project. This project involves the construction of an 850 MW natural gas-fired power plant adjacent to OPC's existing Hadera power plant. OPC is now focused on completing the necessary actions, agreements, and conditions for the financial closing of the project.

OPC Energy Ltd. reported Q1 2026 results with a 10% increase in consolidated EBITDA after proportionate consolidation to $124 million and an 18% rise in adjusted net income to $33 million. However, consolidated net income decreased by 44% to $14 million. Key developments include a $257 million capital raise, an improved credit rating outlook to positive (A1.il), and strategic project advancements in Israel and the US, such as the Basin Ranch acquisition and increased holdings in other power plants. The company noted geopolitical instability in Israel but stated no significant impact on business activities as of the report date.

Kenon Holdings Ltd. held its Annual General Meeting on May 14, 2026, where shareholders approved all proposed resolutions. This included the re-election of all ten incumbent directors and the re-appointment of the statutory auditor for the financial year ending December 31, 2026. Additionally, shareholders authorized ordinary share issuances, the grant of awards under the Share Incentive Plan 2014, and the renewal of the share purchase authorization.