Shell completes acquisition of Aussie power, gas retailer
Shell has completed the acquisition of Powershop Australia, an online electricity and gas retailer, it said on February 1. The deal was announced in November last year.
The transaction has taken place through the 100% acquisition of Meridian Energy Australia Group (MEA), the parent company of Powershop, by a consortium of Shell and Infrastructure Capital Group (IGC), an Australian infrastructure investor and manager.
Under the terms of the deal, Shell has acquired Powershop and ICG has acquired MEA's portfolio of renewable generation assets and development projects. Shell also acquired Powershop’s existing wind power purchase agreements as part of the transaction and has agreed offtake arrangements with ICG associated with MEA’s hydro and wind assets, totalling 300 MW of capacity.
Powershop Australia will operate as a wholly-owned subsidiary of Shell under the Powershop brand within the Shell Energy business in Australia, which is part of Shell’s global renewables and energy solutions business.
Powershop Australia serves more than 185,000 customers in the residential and small business markets. It offers electricity in Victoria, New South Wales, South Australia and Southeast Queensland, as well as gas in Victoria. MEA is a unit of New Zealand’s Meridian Energy.