Octopus Energy has struck a deal to acquire French utility ENGIE’s residential supply business in the UK, taking over 70,000 of its customers.
It is the energy supplier’s sixth acquisition in two years and takes the total number of customers to 1.4 million – around 5% of the UK market.
Octopus Energy also powers M&S Energy and London Power – a new supplier that was launched by Mayor Sadiq Khan last week – and became the first supplier this year to announce a price cut for customers on the standard variable tariff.
Greg Jackson, CEO of Octopus Energy, said: “Octopus Energy is investing to drive the green energy revolution – our technology enables a lower cost transition and our rapid growth means we can bring the benefits of cheaper, greener, smarter energy to ever more customers.
“It is an honour to acquire ENGIE’s UK home energy supply operations, enabling Engie to focus on their expanding services in other sectors whilst we bring their customers Octopus’s renowned service, pricing and technology.”
ENGIE UK has made a “strategic decision” to leave the domestic energy market in the UK to focus on working with businesses and local authorities on the zero carbon journey.
Nicola Lovett, CEO of ENGIE in the UK & Ireland, said: “Our decision to exit the UK residential energy supply market is driven by our focus on activities closely aligned to our UK strategy of making zero carbon happen for businesses and local authorities. Octopus is a strong, well established business and a good fit for our UK residential retail customers.
“ENGIE remains deeply committed to the UK and we will continue to invest and play a leading role in the UK’s journey to a net zero future.”
The news follows an announcement last week about SSE completing the sale of its retail business to OVO Energy for £500 million.
The deal sees OVO Energy, which already serves 1.5 million customers, take on around 3.5 million customer accounts from SSE.