In December 2018, we made a majority equity investment in g2 Energy, a leading renewable energy and battery installer in the UK. The business had historically delivered significantly higher revenues and EBITDA, however due to a change in subsidies saw a near 80% reduction in revenues and was loss making on an EBITDA basis on acquisition.
We injected fresh capital alongside management. We have since worked closely with management to implement a ratchet-based Management Incentive Plan to provide them with very meaningful upside potential.
We continue to work with the executive team to manage short-term cash flow and make numerous customer introductions that have led to exceptional top-line growth. g2 has signed contracts or Letters of Intent increasing revenues six-fold from December 2018’s figure.
Blandford Capital remains committed to g2’s future development, working closely with the team around recruitment of key personnel and on the implementation of long-term initiatives to deliver value to all stakeholders.