Yorkshire-based Bayford Group plc, the diversified property-to-energy supply business, today took a further step into advanced energy markets, completing its purchase of the 320,000 customer accounts of supplier E Gas and Electricity.
The supplier reported sales of £160m in 2019. It employs 170 staff at its Birmingham head office. Terms for the deal were not disclosed.
Originally a coal distributor, Bayford has since the mid 1990s combined property and hospitality interests with oil and gas supply.
In 2017 Bayford used its rights to the Gulf Oil brand to launch suppliers Gulf Gas and Power in the UK and in the Netherlands.
Sale of the group’s fuelcard business last year left it with £95 million, earmarked for investments outside of fossil fuels. At the same time, the group sold its interest in Oilfast, a Scottish oil distributor, co-founded by Bayford’s CEO, Jonathan Turner.
The group has continuing interests in upscaled home development and hotel management. Bayford intends the latest buy as a route to explore opportunities in storage services and EV charging points. Both UK and European markets are targeted for exploration, he confirmed to local media.
Turner added: ‘This is one of the most exciting times to be in the energy industry. There is a global revolution happening, and we are in the thick of it”.
Following an initial boom, smaller energy suppliers have endured a difficult period, with many collapsing as energy markets turned, many having spent environmental levies trying to stay afloat.
The domestic market remains challenging, as suppliers price acquisition tariffs below cost to attract customers. One of the big six, SSE, has exited entirely, while Centrica’s share price, continues to tumble following six years of decline.
Last week, however, EDF took on Vattenfall’s household energy supply company iSupply. The Swedish company said it had withdrawn from the market to concentrate on its generation and b2b businesses.