Npower has sold its Electricity Plus and Gas Plus subsidiaries to Telecom Plus, the latter said in a statement this morning. In a separate statement, Telecom Plus announced its seen “significant acceleration” in organic growth, with adjusted profit before tax up 10.1 per cent to £13.7m. Growth and increased customer numbers were seen on the back of the Big Six energy price hikes, it said. (Release)
Telecom Plus, which already sells electricity, gas, broadband, and mobile and fixed-line telephone services via its Utility Warehouse brand, is paying a total of £218m to Npower. (Release)
The deal will see £196.5m paid now, in cash, with a further £21.5m deferred over three years. Telecom Plus is also signing a 20-year wholesale supply agreement.
It’ll also see Utility Warehouse gain over 770,000 customers. The group’s gross margin will immediately increase by 4.25 per cent upon completion of the acquisition.
Npower sells gas and electricity arms to growing Telecom Plus