AN energy company was founded by three friends has been sold.

Cotswold Energy Group based at Upper Mills, Stonehouse has been sold to South Coast Insulation Services.

Cotswold Energy was founded by three friends with varying backgrounds and is known for its commercial and domestic solutions, including air source and ground source heat pumps, as well as solar PV.

Shareholders Jonathan Bonnar, Robin Hodge and Aaron Stuart-Kelso instructed KBS

on the sale as part of Cotswold Energy’s growth strategy.

Commenting on the acquisition, SCIS CEO Nicolas Gillanders said: “We’ve been able to acquire Cotswold Energy in a move that gives us an opportunity to build on our existing offering as like-minded businesses, with a shared goal of helping customers reduce their carbon emissions.”

Fabio Rambelli, associate director at KBS Corporate, who advised on the sale, said: “Jonathan, Robin and Aaron were looking to secure the value of the company while simultaneously sourcing capital investment.”

“It has been an incredible pleasure to work with the Cotswold Energy shareholders and I am very happy we have been able to secure a deal for them.

“I have no doubt SCIS and Cotswold Energy will have successful futures and I wish all involved the very best.”

Looking ahead, Fabio anticipates considerable activity across the renewable energy M&A space in the foreseeable future.

“Increases in energy costs and price caps will likely drive the demand for renewable systems in domestic and commercial settings,” said Fabio.

“The Net Zero Strategy will likely see a bigger promotion of renewable solutions. This sector is still fairly fragmented, so I expect more and more M&A activity over the coming years with key players looking to consolidate the market as time goes on.”

Harrison Clark Rickerbys and Foot Anstey supported the transaction as solicitors for the two parties, while SCIS was assisted by PKF International and FRP Advisory as due diligence and corporate finance advisors respectively.