Financial history
In September 2019, Octopus acquired German start-up 4hundred for £15 million; the acquisition of 4hundred, which had 11,000 customers, was Octopus' first overseas expansion.[38]
In May 2020, Australian electricity and gas supplier Origin Energy paid A$507 million for a 20% stake in Octopus.[39] This meant Octopus gained "unicorn" status, as a startup company with a value in excess of £1 billion.[40] In September of that year, Octopus acquired Evolve Energy, a US Silicon Valley–based start-up, in a US$5 million deal. The acquisition was the first step in Octopus' $US100 million US expansion; at the time of the acquisition, Octopus announced it was aiming to acquire 25 million US customers, and 100 million global customers in total, by 2027.[41]
In December 2020, Tokyo Gas paid about 20 billion yen ($US193 million) for a 9.7% stake in Octopus, valuing the company at $US2.1 billion. Octopus and Tokyo Gas agreed to launch the Octopus brand in Japan via a 30:70 joint venture to provide electricity from renewable sources, amongst other services. Origin invested a further $US50 million at the same time, to maintain its 20% stake.[42]
In August 2021, Octopus entered the Spanish market with the acquisition of green energy start-up Umeme. Upon the acquisition, Octopus announced it was targeting a million Spanish energy accounts under its brand by 2027. In November 2021, Octopus acquired Italian energy retailer SATO Luce e Gas, rebranding the business as Octopus Energy Italy, investing an initial £51 million and targeting 5% of the Italian market by 2025.[43] As a result of these acquisitions, Octopus now has retail, generation or technology licences in 13 countries across four continents.[44]
In September 2021, Generation Investment Management, co-founded and chaired by Al Gore, purchased a 13% stake in Octopus Energy Group in a deal worth $US600 million. The investment increased the company's valuation to $US4.6 billion, with the cash injection to be used by Octopus to increase its investment in new technologies for cheaper and faster decarbonisation.[45]
In December 2021, Octopus Energy announced a long-term partnership with Canada Pension Plan Investment Board, raising US$300 million and taking the valuation of Octopus Energy Group to approximately $US5 billion.[46]
In January 2022, Octopus Energy entered the French market with the acquisition of Plüm énergie, a French energy start-up with 100,000 retail and corporate accounts. Plüm was subsequently rebranded as Octopus Energy France.[47]
Further funding of $800m from existing shareholders in December 2023 brought the valuation of Octopus Energy to nearly $US8 billion.[48]
In January 2024, investments were made by impact managers Lightrock and Galvanise, alongside additional funding from existing investors Generation Investment Management and Canada Pension Plan Investment Board, bringing the valuation of Octopus Energy to $US9 billion.[49]
