Gisborne-based Eastland Group has boosted its investment in electricity business Flick Electric Co, raising its shareholding from 11 to 16 percent.
When announcing the company’s cornerstone investment in December last year, Eastland Group chief executive Matt Todd said Eastland was attracted to Flick’s technology-driven model, disruptive potential and strong customer engagement.
“It’s exciting to be increasing our commitment to New Zealand’s fastest growing electricity retailer. Aside from the expected commercial return, this investment is helping us to understand changing customer requirements as new technologies alter how electricity consumers interact and behave towards new and existing electricity offerings.”
Flick Electric Co. has raised a further $5 million from existing shareholders to fund its New Zealand growth plans. The company, which received the New Zealand Hi-Tech Award for Most Innovative Service in May, sells electricity direct from the spot market delivering 19% average savings to its customers.
Flick Chief Executive Steve O’Connor says the company is delighted to have the offer fully subscribed by existing shareholders. “We have been very focused on proving there is a mass market appetite for our proposition, and building capability and capacity in the business to support our growth aspirations. Our shareholders are clearly heartened by the progress we’ve made and our strategic positioning.”
At its AGM in May, Flick appointed Matt Todd, CEO of Eastland Group and Simon Robertson, former CFO of Auckland International Airport, as new directors.
“The appointment of our new directors reflects a maturing business and our growth aspirations for the coming year,” says Marcel van den Assum, Flick’s Chair. “Both new directors have extensive experience managing large, complex businesses and their skills are essential to drive Flick through its next growth phase.”
Flick has acquired more customers (net) than any other electricity retailer in the first half of 2016. The company has a customer satisfaction rating of 96%, and was recently voted the best electricity retail product by industry participants.
The new capital will enable Flick to continue its growth trajectory supported by ongoing technology development. “Fast growing businesses need to be well supported to capitalise on momentum. This raise gives us a solid runway so we can focus all of our energy on meeting our goals and delivering strong value to shareholders,” says O’Connor.
Kathy McVey, Eastland Group, 021 862 177 or firstname.lastname@example.org