Renewable electricity supplier and energy services provider Good Energy Group has signed a conditional binding agreement to acquire Empower Energy, a commercial solar installation company.

The deal includes the 100% acquisition of Empower's issued share capital on a debt-free, cash-free basis for an initial consideration of ￡7m ($7.56m).

The initial consideration for Empower will be satisfied with a payment of ￡6.25m in cash upon completion and the allotment of 254,237 new ordinary shares in Good Energy for 295 pence per share.

The shares will be subject to a 12-month lock-up period, followed by a further 12-month orderly marketing period.

An additional deferred consideration of ￡1m is payable in cash in January 2026, contingent on conditions involving Empower founder and managing director Ryan McShea, who will join Good Energy following the acquisition.

For the financial year ended 31 August 2024, Empower reported unaudited revenue of ￡10.1m and a profit before tax of ￡1.8m.

The acquisition will be funded from Good Energy's existing resources, ensuring the company maintains a healthy cash balance for ongoing organic growth.

The company plans to expand its installation capacity, particularly in Hampshire and the South of England.

The London Stock Exchange has received an application for the admission of the consideration shares to trading on the Alternative Investment Market (AIM), with admission expected on 29 October 2024.

Good Energy will then have 18,506,399 ordinary shares in issue, all with voting rights.

Good Energy CEO Nigel Pocklington stated: "Good Energy is already providing high quality, consultative commercial solar installation services to customers in the South, and through Empower joining the Group we are stepping this up further. Offering commercial solar installation backed by 15 years of experience nationwide, Empower accelerates Good Energy's solar service offering.

"As the fourth solar acquisition Good Energy has made in 18 months and the second in only weeks, we have rapidly scaled our service coverage and capability.

“We will now be focussed on integrating these businesses under the Good Energy brand, leveraging our increased operational scale and vertical integration to provide a cohesive experience for commercial customers looking to cut their energy bills and their carbon through installing solar."

"Good Energy to acquire Empower to boost solar services" was originally created and published by Power Technology, a GlobalData owned brand.

 

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