Octopus Energy Group has continued by announcing its intention to acquire sister company, Octopus Renewables, in a move designed to shake up the global energy market and help drive a cheaper, faster energy transition through technology.
The entech pioneer is one of the UK’s fastest growing energy suppliers, having gained 2 million customers since launching to the market less than five years ago, making it the fifth largest energy supplier in the UK.
It recently hit a US$2 billion valuation – or double unicorn status – following its second large-scale investment round in a single year. The business was the second-most funded UK tech company in 2020.
This deal takes the firm deeper into the energy space, adding £3.4 billion worth of generation capacity from Octopus Renewables into its green energy asset management portfolio. This will make it one of the largest operators and investors in renewable energy in Europe. While Octopus Renewables will join the Octopus Energy family, it will retain its name, leadership and people.
From June 2021 onwards, Octopus Energy Group will manage Octopus Renewables’ European portfolio under its new business arm, Octopus Energy Generation. The portfolio has more than 300 clean energy assets with a combined capacity of 2800 MW across six countries, and in 2020 generated enough energy to power over 1.2 million homes.
By 2027, Octopus Energy is planning to match its supply and generate enough energy to power over 50 million homes across the globe, which is in line with the company’s own ambitions for customer growth.
In January 2021, Octopus Energy made its first move into the generation market by acquiring two wind turbines, signalling the company’s firm ambition to become a globally leading end-to-end energy business. It launched the revolutionary ‘Fan Club’ tariff, which gives customers cheaper energy when local wind speeds are up.
Greg Jackson, Chief Executive Officer and Founder of Octopus Energy Group believes bringing the talent of both companies together will be a win-win for everyone involved.
Octopus Energy Generation is run by Zoisa North-Bond, an accomplished leader in the UK renewable generation sector who successfully established Octopus Energy for Business in 2018.
The planned acquisition is subject to receiving customary formal consents and regulatory approval.
For more news and technical articles from the global renewable industry read our latest issue of Energy Global magazine.
The Winter issue of Energy Global provides a range of technical articles covering technological advancements and future outlooks in the renewables sector, from companies including CorPower Ocean, Rystad Energy, Black & Veatch, Voltalia, FUERGY, and more.
Read the article online at: https://www.energyglobal.com/special-reports/26032021/octopus-energy-group-to-acquire-octopus-renewables/