Spanish renewable power supplier Holaluz to buy Bulb's unit in Spain

Spanish renewable power retailer Holaluz Clidom SA (BME:HLZ) is set to acquire peer Bulb Energia Iberica SLU, a Spain-based unit of collapsed UK electricity supplier Bulb which was placed into special administration in its native country after facing financial difficulties amid raging gas prices.

Bulb Energia Iberica has around 23,000 retail and SME customers in Spain as of December 2021, Holaluz said on Friday when it announced the acquisition.

The Barcelona-based retailer said it would purchase the entire business for an amount equivalent to Bulb’s net shareholders’ equity minus EUR 1.5 million (USD 1.7m) based on Bulb’s closing accounts on December 31, 2021. To this figure, Holaluz is adding an undisclosed amount per customer based on how many of them Bulb manages to retain between December 31 and the end of the first quarter of 2022.

The Spanish company will fund the transaction with cash at hand, including using net proceeds for its EUR-11.3-million share capital increase it finalised in early November 2021, Holaluz said.

The closing of the acquisition does not hinge on any conditions. Holaluz expects to close the deal on December 30, 2021.

Bulb Energia Iberica, operating as Bulb Espana, has already posted a message on its website telling customers not to worry about their power supply as the company is being acquired by Holaluz.

In the UK, Bulb had around 1.7 million household customers when regulator Ofgem put it into special administration a month ago.

(EUR 1.0 = USD 1.131)

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