SSE sells retail unit to Ovo for ?500m

(Sharecast News) - SSE on Friday said it was selling its retail business to OVO Group for £500m comprising £400m cash and £100m in loan notes.
The proceeds will be used to cut debt, SEE said in a statement. Thew two companies started talks on the deal last month.

In May, SSE announced plans to offload the division after more than 500,000 households switched to a new supplier in the previous financial year.

SSE's 5.8m domestic customers will now join Ovo's 1.5m, putting it behind British Gas, which has 12m domestic accounts.

"We have long believed that a dedicated, focused and independent retailer will ultimately best serve customers, employees and other stakeholders," SSE chief executive Alistair Phillips-Davies said.

"SSE will be able to give an even greater focus to delivering the low carbon infrastructure needed to help the UK reach net zero emissions."

The deal is expected to be completed in late 2019 or early 2020, subject to regulatory approvals.