In a groundbreaking move, Kraken, the smart energy platform owned by Octopus Energy, is set to acquire asset management software provider Sennen Tech Ltd in a deal that promises to revolutionize the renewable energy landscape. The undisclosed sum in this transaction is expected to result in a sixfold expansion of Octopus Energy's contracted energy generation and storage assets capacity, making it a true game-changer in the industry.
Kraken's announcement signifies its ambitious plans to broaden its horizons by actively managing offshore wind farms, a venture it has never ventured into. With the incorporation of Sennen's renewable assets based in Bristol, Kraken's flexible energy technology platform is primed to oversee, optimize, and analyze an impressive 36GW of green energy capacity. This marks a significant leap from its current contract of managing 6.5GW across 130,000 green energy assets spanning 12 countries.
What truly sets this acquisition apart is the fact that Sennen's 25 employees will be seamlessly integrated into the Kraken team while continuing their operations from their Bristol office, ensuring a smooth transition and bolstering the company's workforce.
"This acquisition is a game-changer for us as we continue to disrupt the renewable energy landscape," said Kraken's CEO Devrim Celal.
"Sennen's expertise and innovative solutions perfectly complement our mission to provide efficiency and scalability to asset managers. We are excited to join forces with Sennen's talented team to turbocharge the move to a cleaner, cheaper energy world."
Kraken, a subsidiary of the UK-based Octopus Energy Group, specializes in software for delivering and operating large-scale renewable energy assets. Its offerings encompass automated services like customer billing and flexible management of energy assets. Moreover, Kraken provides cutting-edge analytics, real-time monitoring, and optimization for various energy devices, including solar and wind generation, batteries, heat pumps, and electric cars. It boasts partnerships with energy giants such as E.ON and EDF.
Remarkably, Kraken's software is currently utilized to manage an impressive 5.8 million retail energy customers and 60,000 business clients worldwide, courtesy of Octopus Energy. Its reach extends across the UK, Japan, the US, New Zealand, Australia, and most of mainland Europe.
On the other hand, Sennen Tech leverages cloud technology to streamline the oversight, maintenance, and daily operations of numerous renewable energy projects. These projects encompass offshore wind turbines, solar farms, and grid-scale batteries. Sennen's clientele includes notable names like RWE and EDF Renewables and investment manager Foresight Group.
Gaby Amiel, CEO of Sennen Tech, said that combining his firm's technology, expertise and contracted assets with those of Kraken would unlock "tremendous value" for their customers.
"Our energy system needs to be completely rethought and rewired in order to operate free from fossil fuels," he said.
"With renewable energy capacity set to triple globally, Sennen's focus on meeting the challenges faced by renewable project owners will be of increasing importance. Kraken is at the absolute vanguard of the energy transformation."
This exciting announcement comes hot on the heels of Octopus Energy's revelation that it has secured a remarkable £800 million in additional investment from its existing shareholders. This infusion of capital values the company at an impressive $7.8 billion, marking a substantial 60 per cent increase since its previous investment round in December 2021. The future certainly looks bright for Kraken and Octopus Energy as they continue to lead the way in the renewable energy revolution.