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Disruptor brand Rebel Energy has postponed its full launch until 2022 when it hopes to profit from a “decidedly different” competitive landscape.
The energy retailer was soft-launched last year and currently serves a base of around several hundred customers who are friends and family. It was initially due to expand nationwide at the end of 2020, a date which was pushed to summer 2021.
So far this year 16 energy retailers have exited the market via the supplier of last resort (SoLR) process, resulting in more than 2 million customers being picked up by new suppliers.
In a letter to customers Rebel’s chief executive and former BP trader Dan Bates and chief operating officer Penelope Hope noted how the energy crisis had caused a number of market exits. They said that once the current market turmoil has subsided, Rebel will “stand in the gap”.
They added: “We have recently closed an investment round providing additional capital to our balance sheet. With receipt of these funds, and in the interests of our shareholders, we have decided to postpone our full customer launch until 2022 allowing time for current market conditions to stabilise.”
Speaking to Utility Week, Bates would not confirm how much had been raised or by which investors, but said it was outside of crowdfunding service Crowdcube which it used earlier this year to raise more than £220,000.
Rebel said it had already begun to scale back its operations to minimise overheads and to focus attention on its technology platforms.
The letter added: “Fine-tuning our systems and overarching structure will provide a robust foundation from which to scale in the new year.
“When we deem conditions to be ripe we will re-enter the market in a more advanced form. However we expect the competitive landscape to look decidedly different and we hope to be able to profit from such an environment.”
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