Trustpower has announced that all substantial conditions for the NZD441 million (USD306 million) sale of its retail business to rival electricity generator and vendor Mercury NZ have now been met, with settlement expected to take place on 1 May 2022.
The final condition of the transaction was the restructure of cornerstone shareholder Tauranga Energy Consumer Trust (TECT) and the implementation of the proposed amendments to its consumer trust deed, which took effect as of 1 April 2022.
Mercury announced in June last year that it had entered into binding agreements to acquire Trustpower’s existing retail contracts to supply electricity, gas, fixed and wireless broadband and mobile phone services. Trustpower had approximately 235,000 mass market customers across New Zealand at the end of 2021, including 115,000 telecom connections. Once the transaction is complete, the combined Mercury and Trustpower retail businesses will service approximately 780,000 energy and telco connections.