Smart meter group announces plans for £300m stock exchange float
A Manchester-based smart meter company today confirmed its intentions for a stock exchange flotation.
Calisen said the final offer price in respect of the IPO (independent public offering) will be determined following a book-building process, with admission currently expected to occur next month.
The firm was acquired by US buyout group Kohlberg Kravis Roberts (KKR) in 2016 in a deal believed to be worth around £1bn.
It owns the smart meters currently being rolled out in homes across Britain as part of the Government’s £13.4bn programme to help consumers keep better track of energy usage.
Calisen leases its meters to utility companies that then fit them in homes. It receives a monthly rent for 10-15 years as long as the device remains in a property.
The company is aiming to raise around £300m from its flotation, which could value the group at around £1.3bn-£1.5bn.
Proceeds from the issue of the new shares will be used to support future growth, to repay equity bridge loans, letters of credit and other debt, to fund existing and new contracts relating to the smart meter roll-out, and for other general corporate purposes.
The company is targeting a free float of at least 25% of its issued share capital.
It is intended that up to a further 15% of the total offer size will be made available by certain existing shareholders, pursuant to an over-allotment option.
The offer will comprise an offer of shares to certain institutional and professional investors in the UK and elsewhere outside the US.
Phil Nolan, chair of Calisen, said: “It is a privilege to be joining Calisen as the business prepares for the next stage of its growth with a potential premium listing on the London Stock Exchange.
“We expect new shareholders in the company to benefit from Calisen’s strong position in Britain’s smart metering segment and compelling financial track record with dynamic growth, and the skill and deep sector expertise of an experienced management team.
“Calisen is at the heart of Britain’s smart meter rollout which will play a critical role in supporting the decarbonisation agenda and will deliver significant benefits to British consumers and energy retailers.”
Tara Davies, head of European infrastructure at KKR, added: “We are delighted to be bringing Calisen to market to enhance its growth prospects.
“We have been impressed by the progress the group has achieved in the past few years and we look forward to sharing in the company’s continued success as its largest shareholder following the listing.”
