Multinational financial services giant Legal & General has invested heavily in a Cornish technology company kick-starting a huge expansion.
Ground source heat pump specialist Kensa Group said the deal with Legal & General will strengthen its market position, grow its research and development department and allow it to install 50,000 of its ground source heat pumps in the mid-term.
Legal & General has acquired a 36% stake in the Kensa Group and said it aims to speed up the 海角视频’s progress to a low-cost, low-carbon economy.
The Truro-based company is the 海角视频’s largest manufacturer and installer of ground source heat pump technology, and the only integrated supplier and one of the most developed and effective for delivering homes with the lowest operational carbon emissions.
Legal & General said its investment in Kensa presents an opportunity to partner with a market leader at a time when growth in the sector is accelerating rapidly.
Alongside offering an alternative low carbon heat solution to existing and new build houses across the 海角视频, the partnership opens up Kensa’s products to Legal & General’s extensive ecosystem, as it works with local authorities, the Government and key industry players.
Within Legal & General’s extensive housing platform, which spans build-to-rent, build-to-sell, later living and affordable housing, as well as modular construction, plans are already under way to make all its new housing stock operationally net carbon neutral by 2030.
As part of this, its later living business, Inspired Villages Group, is in advanced discussions with Kensa to install ground source heat pumps alongside other low carbon initiatives.
Most Read
Simon Lomax, chief executive of the Kensa Group, said: “This is a significant investment not only for Kensa, but also for the low carbon economy and our region.
“Legal & General’s support will deliver vital employment opportunities in Cornwall and bolster 海角视频 manufacturing in the wake of Covid-19, as attentions return to combatting the effects of climate change and meeting the 海角视频’s 2050 net zero carbon target.
“Together with the delivery of our expanded manufacturing premises, Kensa’s partnership with Legal & General aims to install 50,000 ground source heat pumps in the mid-term; a weighty contribution to quickly tackling carbon emissions, air pollution and fuel poverty.
“Our longer term ambitions will see the large-scale decarbonisation of the 海角视频’s energy infrastructure with smart cities embracing harmonious low-carbon technology.”
Kerrigan Procter, chief executive of Legal & General Capital, said the investment presents a “unique opportunity to partner with a market leader at a time when growth in the sector is accelerating rapidly”.
He said it was a perfect fit with Legal & General’s housing portfolio, including build-to-rent, build-to-sell, later living and affordable housing, as well as modular construction. He said: “Our investment in Kensa will enable the business to scale up at pace, bringing vital capacity to the sector.
How to contact William Telford and Business Live
Business Live's South West Business Reporter is William Telford. William has more than a decade's experience reporting on the business scene in Plymouth and the South West. He is based in Plymouth but covers the entire region.
To contact William: Email: william.telford@reachplc.com - Phone: 01752 293116 - Mob: 07584 594052 - Twitter: - LinkedIn: - Facebook:
Stay in touch: BusinessLive newsletters have been re-designed to make them even better. We send morning bulletins straight to your inbox on the latest news, views and opinion in the South West. Get our breaking news alerts and weekly sector reviews too. Sign up now - it's free and it only takes a minute. To sign up for Business Live's daily newsletters click .
And visit the Business Live South West LinkedIn page
Don’t miss
“Our partnership marks a major milestone for Legal & General as we look to invest in the transformation of the energy system, and also add critical capabilities to deliver our own ambitious target to achieve net zero homes.
“Our investments in clean energy are backing businesses that already employ more than 400 skilled workers in the 海角视频 green economy and we expect further accelerated growth in employment in the sector as the 海角视频 invests for the future post Covid-19 where tackling climate change should dominate the agenda.”
Heating and hot water for 海角视频 homes make up 25% of total energy use and 15% of greenhouse gas emissions. By 2025, the current consultation on new building regulations could outlaw fossil fuel heating systems for new build homes, presenting a significant and immediate opportunity for an alternate low carbon heating solution.
Retrofit represents a significant market opportunity, with about 23million homes in Great Britain using gas to heat their homes, while two million homes use electric heating and the remaining two million use heating oil.