Shell Plans to Sell sonnen in Germany Handelsblatt Exclusive

10 Sep, 2023

Shell Plans to Sell sonnen in Germany Handelsblatt Exclusive

Oil and gas industry giant Shell (SHEL.L) is making moves to put Germany's sonnen on the market, as reported by the reputable German newspaper Handelsblatt. Although sonnen declined to comment, they emphasized their commitment to pursuing global business expansion.

Approximately four years ago, Shell invested approximately 500 million euros ($536 million) in sonnen. However, like its competitors, Shell has faced the challenges of decreasing retail profit margins due to the exceptional surge in wholesale energy prices following last year's supply crisis. As part of its strategic response, Shell announced the sale of its home energy retail operations in both the UK and Germany, which will be taken over by the British energy supplier Octopus Energy Group.

According to Handelsblatt's sources, sonnen's valuation could range from 1.35 to 1.8 billion euros, a significant increase compared to its expected 2023 sales of 450 million euros, estimated to be three to four times higher. Sonnen specializes in providing storage batteries for rooftop solar systems and recently celebrated a milestone by connecting 25,000 homes to the grid, amassing a total capacity of 250 megawatt hours (MWh). This achievement marks another step forward in their mission to foster a digital, renewable power community among their customer base.