Herbert Smith Freehills Kramer advises Origin Energy on a series of transactions relating to its investment in Kraken Technologies

Herbert Smith Freehills Kramer (HSF Kramer) is pleased to have advised Origin Energy Limited on a series of transactions relating to its investment in global energy software company, Kraken Technologies Limited.

Kraken, the energy technology arm of UK based Octopus Energy, will raise US$1 billion in equity in its first standalone raising. The investment round provides the first look-through valuation of Kraken standalone at US$8.65 billion. 

Origin, which holds its current interest in Kraken through its stake in Octopus Energy, will invest US$140 million (A$210 million) as part of the process which includes both a primary equity raise and a secondary sale process. In a separate agreement, Origin will receive an additional 1.5% interest in Kraken in exchange for agreeing to waive exclusivity to the Kraken platform in Australia. 

These transactions are part of the ongoing path to separate Kraken from the broader Octopus business, to put each company in a strong position to pursue their individual growth paths.

The HSF Kramer team was led by Corporate partner Mia Harrison-Kelf, who worked with Competition/Antitrust, Regulation and Trade partner Linda Evans, senior associate Samuel Moran and solicitor Paul Estephan.

Mia Harrison-Kelf said, “We are proud to continue to support Origin to achieve its strategic goals through this series of important transactions and are excited about the opportunities for the Octopus and Kraken businesses. It was great to continue our work with the Origin team, who always bring a strategic, practical and positive approach to their transactions.”

This is the latest example of HSF Kramer’s market-leading cross-border M&A work. Other examples include the firm advising:

• Chow Tai Fook Enterprises on the strategic review and sale of Alinta Energy to Sembcorp Industries for A$6.5 billion
• The Weir Group PLC on its AU$1.35 billion (£657 million) acquisition of global mining software provider, Micromine
• Resolution Life on its sale to Japanese life insurer, Nippon Life
• Fonterra Co-operative Group Limited on the sale of its global consumer and associates businesses to Lactalis for NZ$4.22 billion
• The Carlyle Group Inc. on its acquisition of Waste Services Group