Centrica (LON:CNA) has inked a deal to buy a Belgian power management firm, the British Gas owner has said. The FTSE 100 company has said that the business will form part of its international distributed energy and power unit.
Centrica’s share price has been steady in London this morning, having added 0.60 percent to 168.00p as of 09:38 GMT, outperforming the broader UK market, with the benchmark FTSE 100 index currently standing 0.26 percent higher at 7,574.94 points. The group’s shares have lost more than 21 percent of their value over the past year, and are down by some 28 percent in the year-to-date.
Centrica buys REstore
Centrica announced in a statement today that it had inked a deal to require demand response aggregator REstore for €70 million (£62 million) in cash. The Antwerp-headquartered company manages 1.7GW of peak load from a portfolio of industrial and commercial customers across Belgium, the UK, France and Germany, generating value for businesses through ancillary services including frequency response and capacity markets.
The FTSE 100 group noted that the business will form part of its international Distributed Energy & Power unit, which caters to large energy users. Centrica also hopes that the deal will expand its geographic footprint into new European markets.
Analysts on Centrica
Macquarie recently reiterated its ‘neutral’ rating on the British Gas owner, with a price target of 180p, while Deutsche Bank reaffirmed the company as a ‘sell,’ without specifying a valuation on the shares. According to MarketBeat, the FTSE 100 group currently has a consensus ‘hold’ rating and an average price target of 205.44p.
Centrica is scheduled to update investors on its recent trading on November 23.