Gisborne-based Eastland Group has invested $2.2 million in high-growth electricity business Flick Electric Co. for a shareholding of 11 percent.
Eastland Group chief executive Matt Todd said the company was attracted to Flick’s technology-driven model, disruptive potential and strong customer engagement.
“We’ve invested in Flick as a way to gain a foothold in the electricity retail sector, but the investment also stands on its own merits as Flick continues to grow,” says Eastland Group chief executive Matt Todd.
“The investment will also allow us to better understand customer requirements as new technologies change how electricity consumers interact with Eastland Network.”
Flick has concluded a $5 million capital round, taking on a number of new shareholders including a cornerstone investment from Eastland Group. Flick Eectric Co. grew its customer base almost 300 percent in the six months to 31 October, and the investment will enable Flick to continue its growth trajectory.
“We are very pleased to have a new cornerstone investor in Eastland Group. Their commitment to the Eastland community is philosophically aligned for us, and their expertise in energy is a great strategic fit,” says Flick Electric Co. CEO, Steve O’Connor.
Around a quarter of the $5m investment has come from Flick’s existing shareholders, consolidating their support for the business. Experienced individuals and institutions completed the round.
“We have been in solid growth mode this year – we have tripled our staff, moved to new premises, and now have almost 7,000 customers who are saving on average 18% on their power bills. We’re well prepared to accelerate and this new money will really light the rockets,” says O’Connor.
“We’ve proven that we can do well as a business, and do good by our customers. We’re here to shake up the electricity sector.”
The two companies would work together to ensure Eastland Network customers could access the Flick product offering as soon as possible.
ENDS
For further information please contact:
• Steve O’Connor, Flick Electric Co., on 021 574 808 or steve.o’connor@flickenergy.co.nz
Flick Electric Co. was launched in August 2014 offering a unique model whereby all of the wholesale costs of getting power to a property – that’s generation, transmission, distribution and metering – are passed-through without any mark-up. Flick then charges a separate fee to service a customer as their retailer. The wholesale cost of generation is the spot market price at the time a customer uses electricity. With access to the ever changing spot price Flick customers can choose what they want to do, at what price, to take real control of their power purchase. Flick also provides a suite of online tools to make this easy; bills customers weekly on actual reads; and doesn’t lock customers into fixed term contracts: prioritising customer education, engagement and experience above anything else. Flick is available in all major urban centres and most provincial areas. You can find out more about New Zealand’s fairest power deal at www.flickelectric.co.nz
Eastland Group is a Gisborne-based company specialising in regional infrastructure: ports, electricity distribution and transmission networks, and electricity generation. Our operations include Eastland Port, Gisborne Airport and Eastland Network – the electricity network for Gisborne, Wairoa and the East Coast – as well as Eastland Generation, which produces electricity from gnts. www.eastland.nz