Octopus Energy has cemented its status as one of Britain’s largest private companies after a series of share transactions that valued it at $9bn (£7.2bn).
Sky News has learned that Britain’s second-largest national energy supplier is now close to reaching a rare ‘decacorn’ valuation – referring to companies worth at least $10bn – after two shareholders raised their shares in the company.
City sources said on Tuesday that Generation Investment Management, chaired by former US vice-president Al Gore, and the Canada Pension Plan Investment Board (CPPIB) had spent about £300 million buying shares from other investors in Octopus Energy.
The valuation is 15% higher than the fundraising just five months ago, which saw it valued at $7.8bn (£6.2bn).
The latest deal underscores Octopus Energy’s phenomenal growth under founder Greg Jackson.
Established just nine years ago, the company has seen its scale strengthened with the acquisition of Bulb Energy, which became temporary property of the government three years ago.
More recently, it struck a deal to buy Shell’s UK domestic energy division, adding hundreds of thousands of new customers.
Octopus Energy’s technology outsourcing platform Kraken is said to be worth billions of pounds after demonstrating strong growth driven by customer demand.
Kraken now serves 54 million customer accounts, more than half of Octopus Energy’s goal of 100 million globally by 2027.
The secondary share sale, which will realize large windfalls for several selling shareholders, leaves CPPIB with a 12% stake and Generation Investment Management with 13%.
Octopus Energy declined to comment.
This story originally appeared on News.sky.com read the full story
