Wickes Group to acquire majority stake in Solar Fast to enhance home energy solutions offering
Wickes Group plc (“Wickes”), a renowned name in home improvement and building materials, announced its strategic acquisition of a 51% stake in Gas Fast Limited, the parent company of Solar Fast, a leader in solar panel installations. This move represents a significant leap for Wickes into the rapidly growing market for home energy solutions, signifying its commitment to sustainability and renewable energy.
The acquisition is set to position Wickes at the forefront of the UK’s domestic solar installations market, which is expected to see substantial growth from an estimated £1.1 billion in 2024 to £1.5 billion by 2028. The move not only diversifies Wickes’ portfolio but also aligns with the increasing demand for energy-efficient solutions among homeowners and landlords eager to reduce energy costs and minimize environmental impact.
David Wood, Chief Executive of Wickes, expressed his enthusiasm for the acquisition, stating, “This acquisition enables us to accelerate our Design & Installation growth lever, capitalising on our expertise in installing major home improvement projects.” Wood’s comments reflect Wickes’ strategic vision to expand its Design & Installation services, leveraging the trusted Wickes brand to support UK homeowners in their energy-saving endeavors.
David Draper, Founder and CEO of Solar Fast, echoed the sentiment, highlighting the synergy between the two companies and the opportunity to advance Solar Fast’s mission to lead the UK market in quality domestic solar installations.
The transaction sees Wickes acquiring the majority stake based on a valuation of up to £36 million, contingent on Solar Fast’s EBITDA performance in 2024. The deal is structured to allow Wickes to make an initial payment of £5.1 million at completion, with the balance due in early 2025. This strategic investment is expected to be immediately accretive to group profits, underscoring the financial and strategic benefits of the acquisition.
In 2022 and 2023, Solar Fast successfully installed over 3,700 solar projects, demonstrating the company’s operational excellence and market leadership. Despite a short-term peak in demand during the energy crisis, the partnership with Wickes is poised to fuel further growth and innovation in renewable energy solutions.
The deal also includes an option for Wickes to acquire the remaining shares in the future, ensuring a long-term partnership and continued collaboration in leading the Business’s development. With the transaction subject to Financial Conduct Authority (FCA) approval, both parties are optimistic about a swift completion process, paving the way for integrating Solar Fast’s offerings into Wickes’ in-store and online platforms.
The acquisition of Solar Fast by Wickes Group plc represents a transformative step towards integrating renewable energy solutions into mainstream home improvement. It signals a broader industry trend towards sustainability and positions Wickes as a leader in the home energy market. This strategic move not only capitalizes on the growing demand for energy-efficient home solutions but also reinforces Wickes’ commitment to sustainability and innovation.