Click Energy, a wholly owned subsidiary of amaysim Australia, sells electricity to retail customers
Australian utility company AGL Energy has agreed to acquire 100% stake of Click Energy Group for AUD115m ($84.6m).
Click Energy is a wholly owned subsidiary of amaysim Australia that sells electricity to retail customers in New South Wales, Victoria, Queensland and South Australia and gas to customers in New South Wales and Victoria.
It also owns On The Move, a utilities connection service provider that connects customers to various utilities such as energy and telecommunications.
For amaysim Australia, the sale of energy business is expected to eliminate the risks associated with ongoing exposure to a changing regulatory environment.
AGL managing director and CEO Brett Redman said: “the proposed acquisition, which follows the recent acquisitions of Perth Energy and Southern Phone, aligns with AGL’s growth strategy and leverages the investment made in customer service platforms.
“The purchase of the Click Energy business and its connection service provider, On The Move, is another step towards AGL achieving our target of 4.5 million customer services by 2024.
“The acquisition includes approximately 215,000 energy services to customers, increasing AGL’s total services provided to almost 4.2 million services to homes and businesses across Australia and building on the strong growth achieved in FY20.
“With AGL’s cost to serve already below that of Click Energy’s, we believe we will be able to unlock further value as these customers share in further benefits from our continuing investment in automation, optimisation and digitisation.”
The acquisition of Click Energy is expected to be closed on or by 30 September 2020
AGL anticipates that the deal to be modestly accretive to its underlying earnings and it will be financed using the company’s existing debt facilities.
Subject to the satisfaction of a customary condition precedent, the transaction is expected to be concluded on or by 30 September this year.