Octopus Energy has agreed a deal to acquire stricken technology-led green energy competitor Bulb.
Bulb collapsed into special administration – designed to protect customers if a large energy supplier becomes insolvent by allowing them to trade as usual while a deal is worked out – in November 2021.
The government has now approved a deal between the special administrators of Bulb and Octopus Energy to acquire Bulb’s 1.5 million customers. Bulb’s 650 employees will be kept on by Octopus.
The sale will be completed following a statutory process called an Energy Transfer Scheme (ETS), which will transfer the relevant assets of Bulb into a new separate entity that will protect consumers during the transfer process.
The process is subject to approval by the Business and Energy Secretary and will take effect at a time ordered by the High Court, expected by the end of November.
Bulb customers will not experience any change or disruption to their energy supplies as part of this transfer, said the government. They do not need to take any action and all direct debits will automatically be transferred.
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“This government’s overriding priority is to protect consumers and this sale will bring vital reassurance and energy security to consumers across the country at a time when they need it most,” said Business and Energy Secretary Grant Shapps.
“This is a fresh start and means Bulb’s 1.5 million customers can rest easy, knowing they have a new energy home in Octopus.”
Octopus will continue to use Bulb’s technology and brand for a transitionary period so that there is a smooth transfer for Bulb’s customers.
Greg Jackson, CEO and founder of Octopus Energy Group, commented: “We take our responsibilities very seriously. We will work unbelievably hard to deliver value for taxpayers and to look after Bulb’s staff and customers.
“We started off as rivals but shared the same mission – driving a greener, cheaper energy system with people at the heart. We know how important this is to Bulb’s loyal customers and dedicated staff, and are determined that Octopus can provide them with a stable home for the future.”
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