Small power retailer Flick Electric is to be sold by Australian-owned fuel retailer Z Energy to one of the big four power generator-retailers, Meridian Energy.
Meridian will pay $70 million for Flick’s 41,000 customers, most of whom are domestic consumers. The acquisition will lift its market share to about 18%.
“Ampol’s divestment of Flick is about strategic fit as Z Energy evolves its strategy to focus on public, business and home EV charging solutions to scale and deliver a strong customer value proposition to support the energy transition,” a statement from Meridian said.
Meridian, which already owns small retailer Powershop, said it would look after Flick customers it would acquire.
“Flick customers can be confident of moving to a company that’s committed to outstanding customer service and great value, and we look forward to having them come on board,” chief customer officer Lisa Hannifin said.
Z Energy acquired a majority stake in Flick in 2018, which it enlarged to near complete control as a diversification from its fuel retailing business, but several years later wrote off three-quarters of the purchase price as Flick lost customers when wholesale electricity prices surged.
Flick moved from wholesale power pricing to trying to be a niche operator looking to undercut the big power companies, which brought it into conflict on occasions with the big four.
Z Energy was taken over by Australian fuel refiner and retailer Ampol in 2022.
Ampol said it was simplifying its business as it concentrated on vehicle charging and sustainable fuels.
rnz.co.nz
