Shell to acquire First Utility

Shell is to buy 100% of First Utility, subject to regulatory and other approvals. The deal is expected to complete in early 2018.

Shell said its  energy supply, trading and marketing expertise, combined with First Utility’s experience, will enable First Utility to grow and develop more innovative services for customers. Shell is a supplier to commercial and industrial customers and it has supported First Utility’s energy trading.First Utility provides energy and telecoms to 825,000 homes in the UK. Since 2015 it has operated in Germany branded as Shell, under a licensing agreement with Shell Brands International.

“The supply and demand of residential energy is rapidly changing, driven by new technologies that enable householders to better manage their energy use, and the need for a low-carbon energy system,” Mark Gainsborough, Shell’s Executive Vice President of New Energies, said. “This combination will enable Shell to enter a new part of the energy market in the UK and to improve choice for customers by delivering innovative services at competitive prices.”

Shell Energy Europe Limited (SEEL) will continue to supply wholesale gas and electricity to energy retailers in the UK and Europe, including First Utility.

“We believe that the time is right to build upon our strong relationship with First Utility by investing to grow its business,” Gainsborough said.

Leave a Reply

Your email address will not be published. Required fields are marked *