Core Viewpoint - Octopus Energy Group Ltd. is initiating the spin-off of its software unit Kraken Technologies, valuing it at $8.65 billion, with an initial equity sale of approximately $1 billion to a consortium of investors [1][2]. Group 1: Company Developments - The Kraken platform manages over 70 million accounts globally and has been instrumental in Octopus's growth as the largest electricity supplier in the UK [2]. - After the spin-off, Octopus will retain a 13.7% stake in Kraken, while major investors like Origin Energy will hold a direct interest of 22.7% in both Kraken and Octopus [2][4]. - The demerger will allow Kraken to function as an independent technology platform with its own governance, enabling Octopus to concentrate on expanding its consumer, generation, and clean technology sectors [3]. Group 2: Market Context - The deal highlights the increasing demand for advanced software solutions among power utilities to manage renewable energy sources and integrate customer assets such as electric vehicles and heat pumps into the grid [1].