Tyneside energy broker Utilitywise is expanding its expertise after a £15.5m acquisition of the Energy Information Centre (EIC).
Utilitywise, a rapidly-growing company based in South Shields, helps some 15,000 customers reduce their electricity, gas and water bills, and largely deals with small and medium enterprises, while Redditch-based EIC are well-established within the larger, industrial and commercial enterprise markets.
The resulting deal creates one of the largest energy procurement and energy consultancy firms in the UK, widening buying options for clients the firm’s product offering.
Announcing the acquisition on the London Stock Exchange, the company said the transaction will be made up of £10.5m in cash and a placing of £5m in new Utilitywise shares.
Utilitywise will also repay EIC’s existing mortgage debt of £1.94m.
And it has also placed a further £17.2m of shares to satisfy market demand.
This latest deal means the company, which first floated on AIM last June, now employs around 600 staff and will see revenues greatly increase.
In April the firm saw sales reach £10.2m in six months to the end of January, up from £7.3m in the last half of 2012m; pre-tax profits of £2.1m were also reported, amid heavy investment in new premises, energy consumption management products, services and staff.