Proactive Investors - Octopus Energy (LON:ORIT) has fetched a valuation of £7.2 billion and firmed up its place among the UK’s most significant private companies after two shareholders hiked their stakes.
Generation Investment Management and Canada Pension Plan Investment Board have recently spent £300 million in upping their stakes in the UK’s largest electricity supplier, Sky News-cited sources said on Tuesday.
This left Octopus with the £7.2 billion valuation, marking a 16% jump on the £6.2 billion figure seen after a fundraising round five months ago.
Having been set up nine years ago by Greg Jackson, Octopus now looks to be closing in on attaining a ‘decacorn’ valuation, granted to private companies worth over US$10 billion (almost £8 billion).
Octopus’ rapid growth has been aided by its takeover of millions of customers from collapsed supplier Bulb Energy, as well as Shell (LON:SHEL) Retail most recently.
These have also helped Octopus to become the UK’s largest electricity supplier, with Ofgem data confirming last week that the company had overtaken Centrica PLC (LON:CNA)-owned British Gas for the title.
Canada Pension Plan Investment Board has been left with a 12% stake in Octopus after the most recent secondary share sale.
Generation Investment Management, which is backed by former US vice-president Al Gore, now holds 13% of Octopus.