Octopus Energy has agreed to sell a 20 per cent equity stake in its business to Australia’s Origin Energy, in deal the UK energy supplier claims will unlock “well over” £300m of new funds towards expanding its customer base and investing in green energy technology over the next three years. The staged deal announced yesterday would see Origin Energy pay (AUS) $134m on completion, and (AUS) $373m over four financial years, which Octopus Energy said would see “well over £300m of new funds injected into the business over the next three years, with most of it in the first year”.
Business Green 1st May 2020 read more »
Octopus Energy has been valued at more than £1 billion after securing investment from an Australian group. The gas and electricity supplier, which was founded in 2015 and has 1.5 million customers, said that Origin Energy would take a 20 per cent stake for more than £200 million. The investment is part of a partnership with Origin that brings the supplier more than £300 million in new funds in all and will result in the Australian group transferring more than four million customer accounts to Kraken, Octopus’s low-cost IT platform. Octopus is now in the ranks of “unicorn” companies, privately owned start-ups valued at more than $1 billion, and is worth about half as much as Centrica, the owner of British Gas, which has about seven million UK customers. Majority-owned by Octopus Group, the investment firm that backed Zoopla and Secret Escapes, it is one of the most successful of dozens of new suppliers that have launched in the past decade, reshaping a market once dominated by six players.
Times 2nd May 2020 read more »