Locality Planning Energy Expands into SE Australia with PowerHub Acquisition

Locality Planning Energy (ASX: LPE) has agreed to acquire 100% of PowerHub Pty Ltd for up to $5.803 million, adding an embedded network portfolio spanning as many as 76 sites and 4,642 service points (SPs).

PowerHub is a Brisbane-based licensed energy retailer providing embedded network and energy efficiency solutions to residential communities and commercial premises, making the business complementary to LPE’s existing embedded network platform.

The transaction expands LPE’s regional footprint into Tasmania and South Australia while bringing 30 active sites, 1,697 active SPs, and a further 187 contracted SPs scheduled to go live by September 2027.

PowerHub also has a pipeline of 46 sites representing 2,758 SPs, giving LPE exposure to additional contracted growth as those developments are activated.

LPE expects settlement on 13 August and will fund the $2.8m payable at completion from existing cash reserves, with the remaining consideration contingent on pipeline SPs being activated within five years.

Acquisition Adds Immediate Scale

Based on the disclosed portfolio, the acquisition represents an 18.9% increase in LPE’s site count and an 11.6% increase in SPs before including SPs announced in July through three residential development partnerships.

The balance of the purchase price will become payable only as SPs across PowerHub’s development pipeline are activated within the agreed five-year period.

The structure therefore gives LPE immediate operating scale while tying a portion of the purchase price to delivery of the future pipeline.

“The acquisition of PowerHub is a strong fit for us, aligning with our strategy to expand our presence in the embedded networks market and provide greater value to residents and property owners,” chief executive officer Scott Taylor said.

“Our team is excited about bringing our competitive energy offerings and service to our new customers and is committed to a seamless transition, with no disruption to services.”

New States Broaden Footprint

The transaction extends LPE beyond its predominantly Queensland-focused base by adding sites in Tasmania and South Australia, broadening the geographic reach of its embedded network operations.

LPE considers the contracted pipeline particularly valuable because it adds existing developer relationships and a defined pathway for further site activations rather than relying solely on new business development.

The acquisition also demonstrates a second avenue for growth alongside LPE’s organic pipeline, with management describing disciplined acquisition as part of the broader strategy for expanding the platform.

LPE provides electricity, hot water, solar, battery, EV charging, and smart metering solutions through long-term supply agreements serving residential communities.

Integration Plan Settled

LPE and the PowerHub sellers have agreed an integration plan designed to support a full handover by 30 September 2026, with the sellers providing transitional services during that period.

The business intends to maintain relationships with PowerHub’s key personnel after completion, preserving operational capability and the developer relationships attached to the acquired portfolio.

LPE chair Craig Chambers said the transaction was assessed against “the same disciplined capital criteria used for other investments”, with the board viewing the new regions and contracted pipeline as consistent with the growth plan already outlined to investors.

Future contingent payments remain dependent on the pace at which pipeline sites and SPs are activated, meaning the ultimate acquisition cost will vary with delivery of that development pipeline.