Energy supplier buys heat pump installer Igloo
UK: Renewable energy services provider Good Energy has acquired the entire share capital of Southampton-based heat pump installer Igloo Works Ltd for an initial consideration of £1.75m.
Igloo, a subsidiary of Lightbulb ES Ltd, will be incorporated into the Good Energy brand and form a new energy services division. Its installation, services and maintenance business will initially be scaled up through Good Energy’s more than 270,000 customers.
Good Energy says the acquisition will provide a platform to build on its energy service offering across other product areas including solar, storage and electric vehicles. Good Energy will seek to accelerate growth in these areas through further bolt-on acquisitions.
For the financial year ended 31 March 2022, Igloo reported sales of £1m and a net loss of £1.2m. Good Energy expects to invest £3.4m in working capital over the coming 15 months to allow the business to reach breakeven point and to scale. £300,000 of this will contributed by the two Igloo founders.
“The heat pump market is hotter than ever. As everyone feels the crunch of gas prices, more customers than ever are eager to cut loose from fossil fuels and take control of their energy by switching to clean power,” said Good Energy chief executive Nigel Pocklington.