New Zealand’s fifth largest electricity company, Trustpower Limited (NZX:TPW), as per a release shared on the NZX website, will be testing market interest in its retail business. The review will be looking for the advantages and other business-related issues in order to find out a separate generation business.
Major changes in the present as well as upcoming energy and utility retailing markets are key triggers of this review.
Chairman Paul Ridley-Smith shared that electrification and decarbonistaion, decentralised energy, digital trends in service provision and utilities convergence are all playing with the conventional operating models. The Company Board intends to examine the options available for their market position, given these modifications and chances.
Trustpower claims to possess 231,000 customers across the nation.
As per the release, the strategic review might take a few months and until the review is completed, no decision will be made regarding selling or retailing the business.
Meanwhile, the stock TPW was found trading at NZ$8.59, down 1.94% with market capitalisation at NZ$2.71 billion.