Octopus Energy's Secret Tech Arm Valued at $8.65 Billion in Major Deal

Octopus Energy is selling a stake in its technology platform, Kraken, at a valuation of $8.65 billion. The deal highlights the rising value of the software behind the fast-growing UK energy supplier. Investors will purchase $1 billion in equity. The group includes D1 Capital Partners, Fidelity Management and Research, and the Ontario Teachers’ Pension Plan. Kraken is a proprietary software platform that manages energy supply. Octopus uses it to run its own retail business and licenses it to other global utilities. The new investment will fund its international expansion. The deal confirms Kraken as a major tech spin-off. It also provides Octopus Energy with significant capital to pursue further growth.