Energy Choice
                            

Matters

Retail Supplier Exercises Option To Acquire 41,000 Additional RCEs Under Transaction, Ups Adjusted EBITDA Guidance

April 4, 2017

Email This Story
Copyright 2010-17 EnergyChoiceMatters.com
Reporting by Paul Ring • ring@energychoicematters.com

Spark Energy, Inc. announced that it has closed on the previously reported acquisition of 19,000 RCEs from National Gas & Electric, LLC (NG&E) and also said that it has exercised an option to acquire an additional 41,000 RCEs from a third party in connection with this acquisition.

These acquisitions will add the state of Delaware, along with one new utility territory to Spark's existing footprint, the company said

In addition, Spark Energy has raised its 2017 Adjusted EBITDA guidance to $110.0 million - $120.0 million for the year ended December 31, 2017. This new guidance represents more than a 20% increase on the midpoint of Spark's initial 2017 Adjusted EBITDA guidance of $90.0 million - $100.0 million.

"We are having a very strong start to the year both in terms of RCE count and gross margin," said Nathan Kroeker, Spark Energy's President and Chief Executive Officer. "With better than anticipated performance and synergies on our recent acquisitions, and the continued execution of our growth plan, we believe our first quarter results and our performance for the remainder of 2017 will significantly exceed previous expectations. These positive first quarter results, together with the additional 60,000 RCEs we are acquiring in the transactions announced today, support an updated 2017 estimated Adjusted EBITDA guidance range of $110.0 million to $120.0 million."

"In addition, with our recently closed preferred offering, including the exercise of the underwriters' overallotment option, we believe that we are well positioned to continue our growth and finance additional M&A activity without the need for us to access the common equity markets," Kroeker said

As exclusively reported by EnergyChoiceMatters.com, Spark recently closed on the acquisition of Perigee Energy

ADVERTISEMENT
NEW Jobs on RetailEnergyJobs.com:
• NEW! -- Corporate Counsel -- Retail Supplier
• NEW! -- Sales Manager -- Retail Supplier -- New York
• NEW! -- Sales Manager -- Retail Supplier -- MA / NJ
• NEW! -- Sales Agent -- Retail Supplier -- Multiple markets
• NEW! -- Customer Retention -- Retail Supplier -- Houston
• NEW! -- Director of Channel Sales -- Retail Supplier
• NEW! -- Regulatory Response I/C -- Retail Supplier -- Houston
• NEW! -- Channel Manager, Sales -- Retail Supplier -- Houston
• NEW! -- Commercial Sales B2B -- Retail Energy
• NEW! -- Brand/Marketing/Channel Manager -- Retail Energy
• NEW! -- Business Development Professional -- Retail Supplier -- Houston
• NEW! -- Senior Analyst -- Retail Energy -- Houston
• NEW! -- Manager of Regulatory Affairs -- Retail Supplier
• NEW! -- Channel Manager, Sales -- Retail Supplier
• NEW! -- Implementation Manager -- Retail Energy -- Houston