Italian utility Enel has agreed to pay $300 million (£235 million) to acquire the US demand response and energy management software firm Enernoc.
The two companies made the announcement yesterday, confirming that Enel subsidiary Enel Green Power North America had an offer of $7.67 (£6) per share accepted in what will be an all-cash transaction.
Enel said the acquisition would make it one of the leading providers of demand response services in the world, whilst bolstering its strategy to focus on energy services.
“As we continue to lead the transformation of the energy sector, Enernoc's technological expertise and positions in key markets will add further momentum to our efforts, while we leverage the existing global footprint of the Enel Group to open up new business opportunities, taking innovative services and solutions to the hundreds of millions of people we serve around the world,” Francesco Venturini, head of global e-solutions at Enel, said.
The purchase price represents a 42% premium over Enernoc’s previous closing stock price and takes into account Enel’s absorption of Enernoc’s debt.
The deal is however subject to antitrust clearance from US authorities and acceptance from majority shareholders.
It is expected to close in Q3 2017.
Tim Healy, chairman and chief executive at Enernoc, said the firm would be united with “one of the most innovative, global energy companies” and one that shared its “vision to change the way the world uses energy”.
“In combining forces with the Enel Group, we look forward to accelerating the growth of our core businesses and to delivering ever more value to our customers as we lead the transition to a more sustainable, distributed energy future,” Healy said.
Enel will take on around 8,000 Enernoc customers and 14,000 sites the business had under management, representative of 6GW of demand response capacity.