Calisen, Manchester smart meter firm, confirms IPO

Manchester-based smart meter company Calisen plc confirmed on Thursday it will seek a listing on the London Stock Exchange next month with a £300 million share sale that could set an eventual £1.5 billion valuation for the KKR-owned firm.

Calisen has two businesses. Its Calvin Capital business owns and manages domestic electricity and gas meters — and its Lowri Beck unit carries out installation, meter reading and maintenance services for energy retailers.

“The offer will comprise new shares to be issued by the company (expected to raise approximately £300 million of gross proceeds) and an offer of existing shares to be sold by the majority shareholder, KKR Evergreen Aggregator L.P., and other manager shareholders,” said Calisen plc.

“The directors believe that the offer and admission will position Calisen for the next stage of its development, by further raising its profile and providing an appropriate capital structure for future growth, including the funding of existing and new contracts relating to smart meter roll-outs in Britain and increasing financial flexibility …

“The company is targeting a free float of at least 25% of the company’s issued share capital.

“It is intended that up to a further 15% of the total offer size will be made available by certain existing shareholders pursuant to an over-allotment option …”

Calisen plc chairman Phil Nolan said: “We expect new shareholders in the company to benefit from Calisen’s strong position in Britain’s smart metering segment and compelling financial track record with dynamic growth, and the skill and deep sector expertise of an experienced management team.

“Calisen is at the heart of Britain’s smart meter rollout which will play a critical role in supporting the decarbonisation agenda and will deliver significant benefits to British consumers and energy retailers.”

Tara Davies, head of european infrastructure at KKR, commented: “We are delighted to be bringing Calisen to market to enhance its growth prospects.

“We have been impressed by the progress the group has achieved in the past few years and we look forward to sharing in the company’s continued success as its largest shareholder following the listing.”