Case Studies


OVO’s Acquisition of SSE’s Great Britain Energy Services

TRANSACTION OVERVIEW

  • On February 14, 2019, OVO Group (“OVO”) took on a strategic growth investment from Mitsubishi Corporation in exchange for a 20% minority stake, valuing OVO at £1bn

OVO OVERVIEW

  • OVO is the U.K.’s largest independent energy technology company and supplier
  • OVO serves 1.5 million customers with intelligent energy services, including retail electric and gas supply, heating insurance, electric vehicle charging and other intelligent energy solutions for consumer and enterprise customers
  • OVO is disrupting the incumbent retail electricity market by bringing innovative software and automation to bear to enhance the customer experience, reduce costs, and enable the integration of intelligent networks of distributed energy assets
  • Founded in 2009 by Stephen Fitzpatrick, OVO is redesigning the energy experience to deliver on their mission of clean affordable energy for everyone

MITSUBISHI OVERVIEW

  • Mitsubishi Corporation (“Mitsubishi”) is a global integrated business enterprise that develops and operates businesses across industrial finance, energy, metals, machinery, chemicals, living essentials, and environmental business
  • Mitsubishi has over 200 offices and subsidiaries in 90 countries and regions worldwide and a network of approximately 1,300 group companies

GREENTECH’S ROLE

  • Greentech served as the exclusive financial advisor to OVO
  • Greentech leveraged its expert sector and investor knowledge to assist OVO in presenting and modelling its numerous innovative business activities to clearly communicate OVO’s compelling value creation opportunity
  • Greentech identified Mitsubishi as a highly motivated potential strategic partner, and created a bespoke process to support Mitsubishi’s cross-border due diligence, maintain a high degree of competitive tension and drive to a successful outcome

WHAT THE TRANSACTION MEANS
FOR THE SECTOR

  • The investment accelerates OVO’s international expansion across Asia and Europe, and the development of its distributed energy technology and services platform
  • OVO brings the full spectrum of assets and capabilities needed for success as a 21st century downstream energy leader
  • OVO fills a key gap in assembling Mitsubishi’s integrated upstream / downstream new energy strategy, and provides a platform for global growth
  • The strategic partnership with OVO provides Mitsubishi with a diversified presence across the renewable energy value chain, from energy equipment manufacturing, to upstream renewable energy generation, T&D, energy trading, and now downstream retail energy supply and services

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