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