Solarcentury: The Rise and Acquisition of a UK Solar Pioneer
Founded at the turn of the millennium, Solarcentury established itself as the largest solar company in the United Kingdom. From its origins as a domestic leader to its expansion into a global renewable energy player, the company played a pivotal role in scaling solar infrastructure across multiple continents.
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Key Facts
- Founded: 1998 by Jeremy Leggett, a former oil geologist.
- Peak Revenue: Reported an annual turnover of £168 million in 2015–16.
- Global Reach: Expanded operations into Europe, Africa, and Latin America.
- Philanthropy: Established SolarAid to provide home-solar installations in Africa.
- Acquisition: Purchased by Statkraft in November 2020 for £118 million.
Company Evolution and Global Expansion
Solarcentury began its journey in 1998, leveraging the expertise of founder Jeremy Leggett. While the company initially built its reputation within the UK market, it eventually sought to diversify its portfolio to ensure long-term growth in the evolving energy landscape.
Strategic Shift to International Markets
By May 2017, Solarcentury announced a significant strategic pivot. At the time, 85% of its business was concentrated in the UK. To reduce this dependency, the company began pursuing a pipeline of projects in Europe and Latin America valued at approximately £3 billion.
One of the hallmarks of this expansion was a partnership with ECOSolar, a private equity firm based in Panama. Through this collaboration, Solarcentury acquired the Divisa Project in Panama, a substantial venture with a capacity of 400MW (megawatts).
Financial Growth and Unsubsidised Energy
The company's transition toward international markets yielded significant financial results. In 2019, Solarcentury reported an eightfold increase in annual profits, reaching £14.4 million. This growth was primarily driven by the construction and operation of unsubsidised solar farms—projects that operate profitably without government financial support—across Africa, Latin America, and southern Europe.
Corporate Social Responsibility
Beyond commercial success, Solarcentury integrated social impact into its business model. In 2006, the company founded SolarAid, a charity dedicated to bringing light and power to underserved regions. Solarcentury committed 5% of its profits to this organization, which provides mini home-solar installations in Africa using a pay-as-you-go payment system.
Acquisition by Statkraft
The trajectory of the company reached a turning point in November 2020. Statkraft, a Norwegian renewables company, announced the acquisition of Solarcentury for £118 million. This move gave Statkraft full control of the company, integrating Solarcentury's expertise and assets into one of Europe's largest renewable energy producers.
| Attribute | Details |
|---|---|
| Founder | Jeremy Leggett |
| Founded Year | 1998 |
| Headquarters | United Kingdom |
| 2015-16 Revenue | £168 million |
| Acquisition Price | £118 million (2020) |
| Acquiring Company | Statkraft |
Frequently Asked Questions
Who founded Solarcentury?
Solarcentury was founded in 1998 by Jeremy Leggett, who previously worked as an oil geologist.
What was the Divisa Project?
The Divisa Project was a 400MW solar venture in Panama acquired by Solarcentury through a partnership with the private equity firm ECOSolar.
How did Solarcentury support charitable causes?
The company founded the charity SolarAid in 2006 and donated 5% of its profits to provide pay-as-you-go mini home-solar installations across Africa.
Why did Solarcentury's profits increase sharply in 2019?
The profit increase to £14.4 million was largely attributed to the operation of unsubsidised solar farms in Latin America, Africa, and southern Europe.
When was Solarcentury acquired and by whom?
Solarcentury was acquired by the Norwegian renewables company Statkraft in November 2020 for £118 million.