Equitix acquires portfolio of industrial gas and electricity meters
Equitix Investment Management Limited has today agreed to acquire a portfolio of industrial gas & electricity meters from Smart Metering Systems plc, one of the largest installers, owners and managers of energy meter assets in the UK.
Smart meters work by sending regular meter readings to energy suppliers, enabling customers to be charged more precisely for the energy they have used. Their roll out is part of a national commitment to reducing energy usage in Great Britain and is synonymous with the Equitix philosophy of investing in projects whose impact on society and the environment aligns with our core ESG values. The acquisition involves circa 187,000 industrial and commercial meters and is the first such project in this sector for Equitix.
Achal Bhuwania , Deputy Chief Investment Officer for Equitix, said: "We are very pleased to participate in the UK smart metering programme whilst creating a long-term partnership with SMS. This acquisition aligns with our business objectives of investing in the country's sustainable energy transition initiatives, which we are excited to be part of."
Alan Foy, Chief Executive Officer of Smart Metering Systems plc, commented: "This transaction realises considerable cash returns and demonstrates the substantial value of our smart meter portfolio.
"It also will enable us to greatly enhance shareholder value with significant and sustainable increase in dividends - underpinned by our asset-backed, inflation-linked, recurring revenue stream.
"With a strengthened balance sheet, we will also be in a much stronger position to invest in the sizeable UK smart meter rollout programme, which is central to the establishment of a decentralised and decarbonised energy system."