The owner of British Gas has chipped in £175 million to buy Irish energy supply business Bord Gáis Energy in a £922 million deal.
Centrica will take over Ireland’s gas and electricity supply business of state-owned energy company Bord Gáis Éireann (pronounced “gosh”) and the 445MW Whitegate gas power station.
BGE has roughly 650,000 residential gas and electricity customers – 357,000 gas and 292,000 electricity – as well as 30,000 business accounts.
Centrica has joined with investors including Brookfield Renewable Energy which owns energy projects in North America and Brazil and UK-based iCon Infrastructure, a recent investor in Beckton Energy’s fat-fuelled power plant.
The business will continue to be run from offices in Dublin and Cork and report to Centrica’s Managing Director for Ireland Eddy Collier who led the deal.
Mr Collier said: “As a leading supplier in competitive markets, Centrica is the natural home for BGE at this very moment when the Irish energy industry is on the eve of deregulating gas supply.”
Chief Executive Sam Laidlaw said: “This is a unique opportunity for Centrica to take a first step in a neighbouring market with strong links to the UK, building on Bord Gáis Energy’s existing capabilities and delivering value for the Group.
“Centrica is committed to providing secure supplies of energy and delivering the best service at competitive prices.”