Power company Mercury has sold its smart-metering business, Metrix, to Australia's intelliHUB Group for $270 million.
Metrix operates separately from Mercury and provides services to power retailers, with more than 460,000 meters in homes and businesses.
Mercury's retail operation continue to be a key partner of Metrix under the terms of the sale.
Mercury chief executive Fraser Whineray said proceeds from the sale would initially be used to pay down debt, and the loss of revenue was expected to cut the underlying profit by about $28m.
He said the sale freed up capital, simplified the company and provided a tremendous opportunity for Metrix employees.
"IntelliHUB is a natural owner for the business given its experience and growth in Australia, and its expansion into New Zealand, partnering with Trustpower to roll-out smart meters across its customer base," he said.
IntelliHUB chief executive Adrian Clark said he was excited by the opportunity provided by Metrix.
"Metrix's large installed meter base, deep customer relationships and innovation platform, make this a natural acquisition for IntelliHUB," Mr Clark said.
"It is also clearly aligned to our strategy of focusing on growth and innovation in smart metering services."
Metrix chief executive Matt Olde will remain as a Mercury executive with an initial focus of ensuring a successful transition to intelliHUB, while another 90 employees will continue with Metrix.