London, 23 June 2010

McKinnon & Clarke (M&C), one of the largest energy procurement and compliance specialists in Europe, has purchased energy risk specialist, Encore for £6.25 million. The deal, announced today, will see M&C’s turnover increase to more than £30m and substantially enhance its corporate and multinational client base, establishing it a major global player in the field of energy, environmental usage and legislation in regulated and deregulated markets.

M&C’s CEO, Simon Northrop, believes this latest acquisition is an important step in the creation of a ‘next generation’ energy consultancy.

He explains: “The challenges facing organisations when managing their energy consumption are complex and potentially detrimental to the success of their business.  It isn’t a matter of buying cheaper; it’s about creating a robust energy risk management and procurement solution to protect not only the company’s bottom line, but also ensuring it is operating within the law.

“In order to add real value to clients, energy consultancies must be able to provide such expertise, combined with global reach.  The acquisition of Encore is an important step in achieving this and is one of a number of acquisitions in the pipeline.”

Following the acquisition of Encore, which has its operational hub in Budapest, M&C will become one of the world’s largest independent energy consultancies with 3500 clients across 40 countries in Europe, Asia Pacific and the US.. Representing 150 of the world’s largest international businesses, M&C is responsible for the purchasing of £4bn of energy. The company is headquartered in Scotland and employs 450 staff in 17 offices across 13 countries.

Earlier this year, January 2010, M&C was sold to mid-market growth investor Lyceum Capital for £22 million.  It announced then its ambition was to increase turnover to £60m by 2013.

"McKinnon & Clarke and Encore are complementary businesses which can deliver a single point of expertise for blue-chip organisations in data analysis, energy solutions and risk management.

“As environmental legislation rises higher up the business agenda, organisations will need our services to ensure they are operating to maximum efficiency and within the law.  M&C is making sure that, through acquisitions and significant investment in infrastructure, we are well placed to offer our clients unrivalled scale and expertise.”

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