The OVO energy supplier plots the sale of a software participation in a “unicorn” assessment as part of the efforts to strengthen the assessment of the fourth group of residential gas and electricity in Great Britain.
Sky News learned that Ovo, who has just under four million details, appointed Arma Partners, the investment bank, to explore Kaluza options.
It reproduces a decision of the greater Rival Octopus Energy – revealed by Sky News – to hire advisers Work on a Kraken software arm outfall to a potential evaluation of more than $ 10 billion (7.4 billion pounds sterling).
Kaluza, who describes himself as an energy intelligence platform and announced this week a license partnership with the energy group based in French Engie, is 80% by Ovo.
The remaining 20% belongs to AGL, an Australian energy company which bought a participation last year in an agreement evaluating Kaluza at $ 500 million (395 million pounds Sterling).
Industry sources have said that the OVO was likely to request an assessment for Kaluza in any new transaction of more than $ 1 billion, although they added that there were questions on the path of software activity to sustainable profitability and its pipeline of new customers.
An analyst suggested that the majority owner of Kaluza could present an assessment for Kaluza – managed by CEO Melissa Gander – up to 2.5 billion dollars on the basis of annual recurring income (arr).
Kaluza recently bought Beige Technologies, a specialist in Australian energy software, in order to strengthen his presence in the Asia-Pacific region.
The potential sale of Pile Kaluza is involved in a wider effort of the OVO to strengthen its financial situation.
Rothschild, the investment bank, orchestrated talks with potential investors of a plan to inject in the region of 300 million pounds sterling in the company.
At one point, this would have included discussions with Iberdrola, owner of the Rival supplier Scottish Power.
Centrica, the owner of British Gas, may also have expressed interest in examining an agreement, according to banking sources.
An agreement with another third party would be likely before the end of the year.
On Friday, Sky News revealed that the company – like Octopus Energy – has so far had not achieved the objectives imposed as part of a new regime for the adequacy of capital supervised by OFGEM, the industry regulator.
A spokesperson for Ovo said that he had “taken proactive measures to align with the new capital rules of Ofgem, working constructively to meet the requirements”.
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Ovo recently appointed Dame Jayne-Anne Gadhia, the former boss of Virgin Money, as president independent of his retail branch.
Founded by Stephen Fitzpatrick, the entrepreneur who now owns Kensington Roof Gardens, existing OVO shareholders include the investment company Mayfair Equity Partners, Morgan Stanley Investment Management and Mitsubishi Corporation, the Japanese conglomerate.
Under Mr. Fitzpatrick, who launched Ovo in 2009, the company positioned itself as a Challenger brand offering a service superior to the players established in industry.
The transformational moment of Ovo arrived in 2020, when he bought the retail branch of SSE, transforming it overnight into one of the main British energy companies.
However, its growth has not been without difficulty, in particular with regard to its disputed relationship with OFGEM and a torrent of customer complaints concerning overload.
The group is now managed by David Bustress, who was briefly the Tsar of the living cost of Boris Johnson after leaving the first job to eat, as general manager.
Kaluza refused to comment on the appointment of Arma’s partners.