Extra Energy Supply Limited (08053154): administration
- Status
- Administration ended
- Administration began
- 2018-12-04
- Administrators' firm
- PwC
- Formerly
- Callisto Energy Supply Limited
- Incorporated
- 2012-05-01
- Location
- Leeds
- Industry
- 35140 Trade of electricity
Why it went into administration
- Regulatory change or action
- Funding withdrawn / unable to refinance
- Energy costs
- Cash flow / liquidity pressure
- Competition / price pressure
- Sustained trading losses
- Bad debts / customer insolvency
- Over-expansion / investment not recovered
- Weather / natural events
From the administrators' statement
EESL’s principal activity is the retail supply of gas and electricity to approximately 129,000 domestic customers and small to medium-sized enterprises (“SME”) across the UK. The principal activity of UPBOL is a service company to EESL including holding the gas shipping licence used to transport gas to EESL’s customers. The workforce was employed by UPBOL; EESL had no employees. At the time of entering into administration there were 418 employees. The Companies were based at the head office premises, located in Birmingham.
EESL was incorporated in 2012 as Callisto Energy Supply Limited and changed its name to Extra Energy Supply Limited in 2013. UPBOL was incorporated in 2013. The Companies’ first full year of retail operations was in 2014. EESL was formed with a view to providing the UK energy market with a discounted energy model and customers with a lower cost alternative to the major energy suppliers through increased competition and customer switching options. EESL’s revenue increased significantly from £36m in 2014 to £359m in 2016 demonstrating its early primary focus on driving customer sales. Please refer to Appendix A for further information on the Companies’ historical financial performance.
EESL promoted itself as a challenger to the established energy competitors. However, it struggled to convert customer acquisitions and revenue growth into sustainable profits. EESL has been heavily loss making since its inception and survival has been reliant on intercompany financial support in the form of a loan, revolving credit facility and credit terms on wholesale commodity purchases.
Administrators' statement of proposals (2019-02-11) · Companies House register