Ranked: The Four Shareholders Behind Octopus Energy's $800 Million Raise

Octopus Energy raised $800 million in December 2023 without bringing in a single new investor. Four existing shareholders wrote the cheques, and the round lifted the company's valuation by about 60 percent. Who put in how much says a good deal about what they think they own.

Key takeaways

• Octopus Energy Group secured an $800 million investment from existing shareholders on 18 December 2023 to accelerate deployment of its Kraken technology platform.
• Octopus Energy's December 2023 raise comprised $380 million from Canada Pension Plan Investment Board (CPP Investments), $305 million from Origin Energy, $58 million from Tokyo Gas and $57 million from Generation Investment Management.
• The $800 million raise boosted Octopus Energy's valuation to about $8 billion, from about $5 billion (GBP 4 billion) in its previous capital raising, according to Enerdatics' record.
• At the time of the raise, about 52 million accounts were contracted to be on Kraken globally, more than halfway to Octopus Energy's target of 100 million customers on the platform by 2027.
• Enerdatics records 23 equity raises in the United Kingdom during 2023 totalling $6.07 billion; Octopus Energy's $800 million round, logged in Leap as a global raise, would equal about 13 percent of that total.

Ranked: who wrote the $800 million cheque?

Two shareholders did most of the work. The four contributions, largest first:

• CPP Investments: $380 million, 47.5 percent of the round
• Origin Energy: $305 million, 38.1 percent
• Tokyo Gas: $58 million, 7.3 percent
• Generation Investment Management: $57 million, 7.1 percent

CPP Investments and Origin Energy together supplied $685 million, about 86 percent. The other two contributed roughly equal amounts at the margin. The mix is the interesting part. One pension fund, one sustainability-focused investor and two energy companies all chose to add to an existing position rather than let a new investor set the price.

Why would a pension fund keep doubling down?

Because CPP Investments had already set its view of the company. Leap records a $550 million equity investment in Octopus Energy from CPP Investments in July 2022. Adding the $380 million in this round takes CPP's recorded contributions to $930 million across the two transactions.

A follow-on of that size from an existing holder tells the market that the investor closest to the numbers saw value at the higher price. A round led entirely by insiders also avoids a fresh negotiation over valuation with an outside party. The step from about $5 billion to about $8 billion was set by people who already knew the business.

It also means new money did not arrive. That cuts both ways. Existing holders were willing to pay more, but the round did not test whether an outside investor would have done the same.

What does Tokyo Gas get from Kraken?

A platform it uses, not just a stake it holds. Kraken is Octopus Energy's technology system for running retail, generation and flexibility businesses, and the company licenses it to other energy players, water companies, broadband providers, renewable generators and large battery operators.

Tokyo Gas is one of those licensees. Leap's record notes two new material Kraken licensing agreements at the time of the raise, with Tokyo Gas and with UK water utility Severn Trent. Those agreements helped take the number of accounts contracted to Kraken to about 52 million globally.

Tokyo Gas's link to Octopus Energy runs deeper than this round. A month earlier, in November 2023, Leap records Tokyo Gas committing about $235.7 million to Octopus Energy's offshore wind fund in the UK. Octopus's generation arm was active on the asset side at the same time, including the purchase of a Borssele III/IV offshore wind stake from Partners Group in September 2023. For a strategic investor, an equity stake, a fund commitment and a software licence point in the same direction.

Origin Energy is the second-largest contributor at $305 million. The record describes it as an Australian energy company and does not detail its commercial relationship with Kraken, so the strategic logic there rests on its shareholding rather than on a disclosed licensing deal.

What is the money for?

Growth in the technology platform and in electrified home energy. The investment will accelerate Octopus Energy's global clean energy expansion through Kraken and support heat pumps and electric vehicle offerings. The company expected the funding to create 3,000 green jobs in the UK alone in 2024.

The flexibility business is part of the pitch. Octopus has over 1 GW of assets connected to its virtual power plant through the Kraken Flex platform, growing at 25 percent month on month since launching in January 2022. A virtual power plant links many small devices, such as batteries, heat pumps and electric vehicle chargers, so they can be dispatched together like a single power station.

Enerdatics' data shows the size of the round against its market. Leap records 23 equity raises in the United Kingdom during 2023, totalling $6.07 billion. Octopus Energy's raise is logged as global rather than British, so it sits outside that count, but at $800 million it would equal about 13 percent of the year's UK equity raised. Leap holds 12 equity records for Octopus Energy and its funds between 2021 and 2025, and unlike most of the other 11, which Leap ties to generation assets, investment funds or the electric vehicle business, this one is tied to the technology platform.

What does the round signal for energy technology investment?

It shows software being valued separately from megawatts. Octopus manages about $7.6 billion (GBP 6 billion) of renewable energy projects across 16 countries and serves 7.2 million retail customers globally, yet this round was justified by a platform that counts accounts, not assets.

It also shows strategic shareholders mattering more than financial ones in a late-stage round. Two of the four investors are energy companies, and one of them licenses the product. That alignment helps explain why the round stayed inside the shareholder register.

Octopus has since kept raising money for its asset funds, including about $654 million from APG Asset Management for its OASIS fund in Australia in July 2025. The December 2023 round remains the clearest read in Leap of what its owners think the technology business is worth.

Frequently asked questions

Who invested in Octopus Energy's $800 million raise? CPP Investments ($380 million), Origin Energy ($305 million), Tokyo Gas ($58 million) and Generation Investment Management ($57 million), all existing shareholders.

What was Octopus Energy valued at after the raise? About $8 billion, up from about $5 billion (GBP 4 billion) in its previous capital raising, according to Enerdatics' record.

What is Kraken? Octopus Energy's technology platform for retail, generation and flexibility businesses. About 52 million accounts were contracted to be on Kraken globally at the time of the raise.

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