Octopus Energy’s valuation increases to $9bn following further commitments from existing investors

• Australian pension fund Aware Super and one other invests $370m via existing shareholders GIM
• Deal increases Octopus’ valuation by 15% since the last investment round in December 2023
• Comes as Octopus Energy becomes the largest electricity supplier in the UK, surpassing incumbent British Gas

London, 7th May 2024 - Octopus Energy today announces a new valuation of $9bn as existing shareholders Generation Investment Management and Canada Pension Plan Investment Board (CPP Investments) increase their stakes in the business.

The deal increases the global energy and technology group’s valuation by 15% on the last investment round, totalling $9 billion (£7.2bn).

Generation Investment Management secured new backing from pension funds in the USA and Australia - including Aware Super.

Generation, the global sustainable investment manager, now owns 13% of the Octopus Energy Group. CPP Investments also chose to invest more into Octopus, increasing its stake in the company to 12%.

The investment will increase Octopus Energy Group’s profile in the USA, fuelling the company’s plans to extend its Kraken technology into American markets, having signed the first deal in Texas in 2023.

Octopus Energy closed its last funding round in December in which it raised $800 million. Since launching to the market eight years ago, Octopus has raised well over $2bn from global investors and expanded into 18 countries.

Greg Jackson, Founder of Octopus Energy Group, said: “Bringing globally respected long-term investors on board helps raise our profile in key markets, and open up new opportunities to continue our international expansion.

“I’m delighted to partner with more pension funds, including Aware Super, and am excited at the prospect of accelerating Octopus and Kraken in North America and beyond, and continuing to invest in technologies that drive a smarter, cheaper energy system.

“I’m grateful to our hugely supportive existing investors for making this possible, and their continued commitment to our long term mission.”

Tom Hodges, Co-Head of Private Equity at Generation Investment Management, said:

“It is clear that Octopus is a generational opportunity. The company has accelerated ahead of its UK peers in energy and in Kraken has developed the first credible digitisation platform for utilities.

We’re backing the world class management team and the thousands of talented people in the Octopus Energy Group as they transform multiple industries at once, and it’s a pleasure to work with pension funds including Aware Super to deliver this huge potential.”

Bill Rogers, Managing Director, Global Head of Sustainable Energies at CPP Investments, said:

“Through this increased commitment to Octopus Energy, we are pleased to support the business as it enters this next period of growth. As a pioneering, and tech-enabled energy company, Octopus Energy has an expanding global footprint and remains a leader and innovator in the energy sector, through both its customer propositions and its support of the global energy transition.”

This news follows a number of announcements by Octopus Energy around the world, including its recent investment into Ocergy – a tech disruptor in the floating offshore wind industry, working with over a dozen major developers across multiple gigawatts (GW) of projects.

The company also announced a partnership with Energisa Group, a prominent electricity and gas utility in Brazil, to advance the energy revolution in South America’s biggest country by focusing on knowledge transfer, tech licensing and potential joint ventures.

Octopus is a global energy and technology company that aims to drive the affordable, green energy system of the future through its retail brand, its investments in renewables and its proprietary technology platform, Kraken.

Kraken has become the fastest growing energy software globally. The AI-enabled tech platform connects all dots of the energy value chain – from usage and industry data to weather forecasts – accelerating the rollout of smart energy products whilst ensuring smooth integration of assets like wind farms, solar and batteries.

The market-leading platform also greatly reduces costs for suppliers and improves customer service levels. It is now contracted to serve over 54 million energy accounts across the world and manages over 38 GW across 180,000 green energy assets in 12 countries.

In the UK, Octopus has been “Which? Recommended” for an unprecedented 7 years in a row. The company continues to top TrustPilot ratings for energy suppliers and has won multiple awards, including one of TIME Magazine’s ‘100 Most Influential Companies’.

-ENDS-

Notes to editors:

Press Contacts

Octopus Energy Group

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+44 (0)20 4530 8369

About Octopus Energy

Octopus Energy is a global clean energy tech business, driving the affordable, green energy system of the future. Under its own retail brand, Octopus Energy delivers world-class customer service and cutting edge energy products to 7.7 million households globally.

Its operations span 18 countries and the entire energy value chain. The group invests in, builds and flexibly manages renewable energy, operating a £7 billion portfolio of projects – one of Europe’s largest. Octopus Energy has licensed its advanced data and machine learning platform, Kraken, to support over 54 million customer accounts worldwide through licensing deals with companies such as EDF, E.ON and Origin Energy.

Kraken enables Octopus Energy to drive the electrification of heat and transport through smart tariffs and innovative cleantech. Backed by pension funds, investors and energy giants, Octopus Energy deliver cheaper, greener energy and cutting-edge tech to countries and customers worldwide.

For more information, check out our website.