Founder and CEO Simon Phelan. Image: Hometree
Phelan, the Dublin-born founder of Hometree, said that the company has acquired Geowarmth and The Little Green Energy Company to expand in the UK market.
Hometree, the Irish-founded residential energy services provider, has secured a debt facility from funds and accounts managed by BlackRock to acquire renewable energy installation companies and expand its services in the UK.
Founded in 2015 by Dubliner Simon Phelan, Hometree pitches itself as a one-stop-shop for homeowners looking to decarbonise their homes and reduce energy consumption.
Initially focused on home emergency breakdown and insurance, the challenger company has since expanded into renewable installations and financing with a focus on the UK market.
In an announcement this week, Hometree said the latest funds and subsequent acquisitions will make the transition to renewable energy “simpler and more affordable” for homeowners by providing hardware installation, financing, repairs and ongoing maintenance together.
Phelan, who is CEO of the company, said that securing financing from BlackRock to support its mergers and acquisitions is a “fantastic boost” that will set Hometree on a path to becoming Europe’s “leading” residential energy services company.
Hometree has acquired Geowarmth and The Little Green Energy Company, both renewable energy companies based in England.
“We are incredibly excited to be partnering with the founders and management teams of two exceptional renewable installation companies and look forward to helping them scale their companies significantly,” Phelan said.
“If the UK is to achieve its net zero ambition, we will need an army of installers right across the country and we’re committed to bringing together these skills, supported by financing and in-life repair and maintenance services, to make Hometree the first choice for homeowners who want to do the right thing by the planet.”
Hometree said it now has more than 100,000 customers who rely on its services which include emergency heating, plumbing, electrical repairs and maintenance plans. This is facilitated by a UK-wide network of 5,000 multi-trade engineers and installers.
Since its establishment, the London-based start-up has raised more than £85m from a cohort of investors that, alongside BlackRock, includes Legal & General Capital, one of Europe’s largest asset managers, Energy Impact Partners, Inven Capital and 2150.
“This new debt facility will support the company in scaling up its plan to manage all aspects of sustainable homeownership and give our clients exposure to an innovative, growing business,” said Tim Fenwick, director at BlackRock Venture & Growth Lending.
A year ago this month, Hometree raised $46m and acquired financing platform BeWarm, a point-of-sale financing platform, which partners with local installers to offer various financing plans to homeowners.
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