Energy consultant splashes out £1.3m to acquire North East firm

Preston based inspired Energy has acquired an energy procurement firm in a deal worth £1.375m.

The Lancashire energy consultant has acquired Squareone – an energy procurement, energy management and water procurement services specialist.

Squareone provides energy consultancy and procurement services to a range of corporate customers, with a strong presence in the education and manufacturing sectors.

The firm has a strong secured order book and retention rates and is a complementary addition to Inspired’s core corporate division.

Squareone is based in Boldon, Tyne and Wear, close to the head office of Churchcom Limited, a company acquired by Inspired in April 2017.

The board of Inspired Energy say that the acquisition will complement Inspired’s core Corporate Division and further enhance the Group’s sector specialism.

The co-founder and managing director of Squareone, Michael Harkus will remain with the group after completion.

The board also intends to grant to certain senior management of Squareone options in the group following completion, vesting in three years’ time.

The aim is to retain and incentivise senior management and ensure they are aligned with the wider Group.

For the financial year ended March 2018, Squareone delivered revenues of £500,000, EBITDA of £250,000, and generated operating cash of £230,000.

Net assets as at 31 March 2018 stood at £100,000.

Mark Dickinson, chief executive of Inspired Energy said: “We are delighted to conclude the acquisition of Squareone, which is a highly complementary addition to Inspired’s core corporate division.

“The Squareone team are well respected within the sector and were deservedly recognised as such at the 2018 Energy Live Consultancy Awards. The acquisition further enhances our customer base and strengthens our sector specialisms.

“We look forward to working closely with the highly experienced and knowledgeable team of Squareone and welcome them into our core Corporate Division as we continue to advance our position as a market leader.”