France’s Engie buys Keepmoat unit for £330m

Engie CEO Isabelle Kocher

French utility Engie said it agreed to acquire the regeneration business of Doncaster-based social housing developer Keepmoat, which specialises in renovating buildings for local authorities, for about £330 million.

Engie said Keepmoat has been owned by private equity firms TDR and Sun Capital since 2014 and that following this sale, they will continue to own the Keepmoat Homes business.

“The Keepmoat regeneration business has an annual turnover of approximately £800 million and employs 2,500 staff across the UK,” said Engie.

“It has built strong partnerships over the last 30 years and has long-term relationships with more than 170 local councils and many of the largest housing associations.

“The business currently has a £1 billion order book and a £9 billion pipeline of regeneration opportunities across the UK.”

Engie CEO Isabelle Kocher said: “The acquisition of Keepmoat is closely aligned with Engie’s strategy and is a major step in our development in the United Kingdom.

“It will help the group to accelerate its growth in customers solutions, one of its strategic priorities, and to expand our offers to cities, complementing the energy and facility management solutions that we already provide in the country.

“Today, buildings account for approximately 30% of UK carbon emissions and we are convinced that with the addition of Keepmoat’s renovation expertise, we will be better able to support local authorities and cities in their transition to a lower carbon future.”

Engie said completion of the transaction is conditional on anti-trust clearance and is expected to take place in a few months.

Keepmoat CEO Dave Sheridan will join Engie at completion together with the entire regeneration division’s infrastructure and employees.

Sheridan said: “The regeneration business has exciting prospects as part of Engie.

“It is very clear that Engie shares our belief that by working in partnership with local authorities and registered providers we can help cities and communities improve the places where people live.”