SCOTTISH ENERGY group SSE intends to acquire Phoenix Supply which provides natural gas to around 130,000 domestic and business customers in the North in a deal valued at £19.1 million.
The sale is subject to approval by the Irish Competition Authority.
SSE is also the owner of Airtricity, the green energy provider that currently supplies more than 625,000 domestic and commercial customers with gas, electricity and home-energy services in Ireland.
As a result of the acquisition, Airtricity will become the North’s second largest energy supplier, and, for the first time, a dual provider of gas and electricity to an estimated 230,000 customers.
Phoenix Supply was previously part of Phoenix Energy Holdings, which said it now intended to “focus on investing and growing its core business” – Phoenix Natural Gas – which operates the greater Belfast natural gas network.
Peter Dixon, group chief executive of Phoenix Energy Holdings, said: “Phoenix established the natural gas industry in Northern Ireland in 1996. We have made no secret of the fact that our long-term ambition is to grow our distribution business.”
Meanwhile, SSE expects to complete its acquisition of Phoenix Supply, which also includes an associated meter-reading division, during the summer.
About 70 staff are currently employed by Phoenix’s supply and meter-reading businesses.
Kevin Greenhorn, SSE’s director of business supply, contracting and international and CEO of Airtricity, sees the acquisition as an “exciting new chapter”.
The North’s Consumer Council has said Phoenix Supply customers should be reassured there would be “no immediate impact” as a result of SSE’s acquisition.
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