Retail Supplier Considering Options For Monetization, Retains Advisor -- EnergyChoiceMatters.com

Retail Supplier Considering Options For Monetization, Retains Advisor

April 13, 2022

Email This Story
Copyright 2010-21 EnergyChoiceMatters.com
Reporting by Paul Ring • ring@energychoicematters.com

The following story is brought free of charge to readers by EC Infosystems, the exclusive EDI provider of EnergyChoiceMatters.com

EnergyChoiceMatters.com understands that Preston Ochsner and Ochsner Interests Inc. have been retained by a medium-sized retail energy supplier as the exclusive financial advisor to help them explore options for monetizing their business

While the ESCO was not named in any preliminary materials, a description of the ESCO appears to fit Robison Energy, though EnergyChoiceMatters.com again stresses that the ESCO's identity has not been named or confirmed.

Highlights of the unnamed retail supplier are understood to be as follows:

• 31,000 natural gas and 10,300 electric residential customer equivalents
• 2,115 natural gas accounts - 85% are residential load (residential buildings) 11% are small commercial and 4% large commercial
• 2,065 electric accounts - 80% are residential load (residential buildings) 16% are small commercial and 4% large commercial
• Parent company was founded in 1921
• Natural gas and electric customers in Con Edison, National Grid downstate (West and East), Orange and Rockland and Central Hudson. Utilities listed in order of load served -- largest to smallest
• Licensed in National Grid upstate and PPL as well
• Licensed in Pennsylvania and expect first customers to flow in April
• Average life of a customer is 5.4 years with 10% of the accounts having been with the company for over 10 years
• 92% of the natural gas load is firm with 8% being Interruptible
• 65% of the natural gas book is fixed (by load) and is currently 106% hedged
• 59% of the electric book is fixed and is currently 69% hedged
• Most of the current accounts were sourced through an internal direct sales team consisting of three employees
The unnamed ESCO has been described as a clean, well-run company with a strong brand name and some of the stickiest customers seen by the advisors.

Email This Story

HOME