Tue, 30 Dec 2025

Tue, 30 Dec 2025 Octopus Energy to spin off $8.65bn tech arm Kraken

The energy firm sells a $1bn stake in its technology arm Kraken, paving the way for its demerger.
Octopus Energy is to demerge its AI-powered subsidiary Kraken Technologies into a separate company, after selling a $1 billion stake in the platform to investors led by D1 Capital Partners. The deal values Kraken at $8.65 billion and paves the way for a potential stock market flotation in either London or New York. Founded by Octopus Energy's Greg Jackson, Kraken uses artificial intelligence to automate customer service and billing for energy companies, managing when customers use energy and rewarding them for reducing consumption at peak times. The company has already signed up 70 million household and business accounts around the world, including EDF, E.On Next, TalkTalk, and National Grid US. Octopus will maintain a 13.7% stake in Kraken, with the majority of the investment going towards funding its expansion. Jackson said that for a tech firm like Kraken, a London listing would be ideal, but it's down to where they can get the most investor support and exchange backing.
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