One of Canada’s largest pension funds will inject $300 million (£227m) into the British energy group Octopus Energy.
The deal with the Canada Pension Plan Investment Board (CPP Investments) is predicted to increase Octopus Energy Group’s valuation to approximately $5 billion (£3.7bn).
The new investment is expected to further support Octopus’s Kraken platform and help expand the company’s renewable energy generation.
Deborah Orida, Chief Sustainability Officer and Senior Managing Director, Global Head of Real Assets at CPP Investments, said: “In the decades to come, some of the most rewarding long-term investment opportunities in the global economy rest among those businesses that will enable, evolve, innovate along the path to a net zero world.
“As a large, long-term investor, we are well-positioned to continue our leadership in investing in the whole economy evolution required by climate change.”
Greg Jackson, Chief Executive Officer and Founder of Octopus Energy Group, said: “Innovating new ways to accelerate investment into the renewable energy revolution is vital to delivering government’s net zero goals and the CPP Investments-Octopus partnership is globally significant, paving the way to billions of dollars of investment in the UK and globally.
“Make no mistake – this partnership is huge.”