Sky New is reporting that Octopus Energy is considering splitting off its Kraken Technologies arm in a $10bn demerger.

Estimating that such a move could happen within the next 12 months, Kraken could potentially be valued at even more, possibly $14bn, with investment banks being ‘beauty-paraded’ and a potential minority stake being readied for sell off to boost valuation.

Kraken is a cloud-based platform built specifically for the energy sector, using machine learning to automate the supply chain. Kraken has underpinned the success of Octopus and has been licensed to support over 50 million accounts worldwide, through deals with EDF Energy, Good Energy, E.ON energy and Origin Energy. It should exceed 100 million accounts on the platform by 2027.

---