Spark Energy, which last week appointed administrators, has been acquired by larger rival firm OVO after the regulator Ofgem yesterday said that OVO had been chosen to take over Spark’s 290,000 customers, using the existing team and with minimal disruption to service.

Spark CEO Chris Gauld said the move would “significantly benefit the rental sector”.

The price paid and other details surrounding the deal were not disclosed. No one we contacted would even say whether the firm had been bought out of administration.

However, a spokesperson told EYE yesterday: “We can confirm that OVO Energy has bought the operating company of Spark Energy after we submitted a proposal to Ofgem to take over their customers.

“We are delighted that OVO was chosen by Ofgem to take over Spark Energy customers and that we are joining the OVO family.

“This agreement means that Spark Energy jobs will be protected and customers’ services will not be disrupted.”

In a formal statement yesterday Gauld said: “Spark is now part of the UK’s largest independent energy supplier and a very successful group of companies.

“We will service our customers, under OVO’s licence, from our existing offices, and continue to grow our niche model of partnering with leading letting and estate agent companies.

“I’m delighted that we can continue to evolve as part of the OVO family with a renewed confidence in the future despite the challenges the energy sector is facing.”

He stressed that it will be business as usual for both Spark and its customers, with no disruption to the service.

He also said that there will now be new opportunities for Spark customers, including the option of a 100% renewable energy tariff.

Spark remains the only specialist utility company for the rental market, managing supplies of property portfolios for landlords, agents and lettings firms – adopting supply during void periods and handling all administration.

Alongside its gas and electricity arm, Spark also supplies broadband, telephony and bespoke Sky TV packages, specially tailored to the requirements of people in rented accommodation.

Earlier this year the company launched its digital home-move assistant, Tili – enabling home movers to set-up their essential utilities in just ten taps and three minutes while offering new income streams for the property industry.

Gauld said that his product continues to develop, expanding its offering into additional subscriptions including gym memberships and delivery services, alongside utilities and council tax.