Will Gardiner – CEO of Drax Group

The transaction, which is subject to regulatory approvals, is expected to complete in the first quarter of 2026 and is projected to yield returns significantly above the group’s cost of capital.

Founded in 2004, Flexitricity specialises in optimising flexible energy assets, such as battery storage and gas peakers, to provide reserve electricity to the National Grid. The firm employs approximately 85 staff members who will transfer to Drax as part of the acquisition. The £36m price tag represents a significant increase in value for the company, which was previously sold by Swiss firm Alpiq Digital to a division of Quinbrook in 2020 for an estimated £15.4m.

The move supports Drax’s strategy to expand its flexible generation and battery storage capabilities. Flexitricity currently manages over 900MW of operational assets using proprietary artificial intelligence and machine learning software. This technology will underpin Drax’s plans to develop a gigawatt-scale pipeline of battery energy storage systems (BESS), complementing its existing route-to-market services for third-party renewable assets.

Drax Group CEO Will Gardiner said: “We are ambitious about growing and developing our FlexGen business and Flexitricity’s technology and team are a strong strategic fit for us.

“Adding Flexitricity’s expertise and capability which uses AI and advanced machine learning software, delivered via their proprietary platform, supports our options for growth, particularly in our plans for a GW scale BESS portfolio as a part of our FlexGen business, while continuing to provide energy security to the UK power system and delivering new energy services for our customers.

“I would also like to welcome Flexitricity’s employees to the Group and its customers who we look forward to working with and continuing to serve following completion of the acquisition.”