NRG Energy puts big money on smart-home acquisition

Dec. 6 (UPI) -- Retail electricity provider NRG Energy said its $2.8 billion acquisition of efficiency-driven Vivint Smart Home would accelerate its consumer-focused growth strategy.

NRG is a service provider based in Texas with an estimated 5.5 million customers. Vivint Smart Home has nearly 2 million customers that use so-called smart technology to create a more efficient home.

Mauricio Gutierrez, the president and CEO at NRG, said Vivint's vertically-integrated reach -- from hardware to software and installations -- makes for an unparalleled match.

"The acquisition of Vivint is a transformational step in achieving our vision. Customers want simple, connected and customized experiences that provide peace of mind," he said. "Vivint's smart home technology strengthens our retail platform, improves our customer experience and increases customer lifetime value."

Smart technology-driven heating and cooling can improve energy efficiency and lower consumer bills by adjusting levels to accommodate for peak consumption, vacancies or other demand-driven factors, saving consumers as much as 35% on their bills.

U.S. President Joe Biden's signature Inflation Reduction Act includes tax credits and rebates for everything from heat pumps and energy efficient windows, improvements the government said could save consumers at least $500 per year.

NRG's acquisition was already approved unanimously by the board of directors of both companies. Subject to regulatory sanctioning, the transaction should close during the first quarter of 2023.