EDES provides engineering design services for underground and overhead electricity lines in the energy distribution market.

The deal will strengthen Renew’s Excalon business as it targets growing work in the power transmission and distribution market.

Renew said around £50bn-£60bn of investment is committed across the electricity network over the RIIO-2 regulatory period.

EDES was established by three former United Utilities and Norweb electrical engineers in 2010.

It will now sit alongside recently acquired Emerald Power and PWR-X, giving Excalon a turnkey service from design through to delivery.

Renew is paying an initial £6.5m in cash from existing banking facilities on a cash and debt free basis.

A further £2.5m is payable if the vendors stay with the business for an agreed period and hit specific profit targets.

Renew said it retains a strong balance sheet and is still reviewing a pipeline of further acquisitions.

Chief executive Paul Scott said: “This acquisition represents a strong strategic fit for the Group, bolstering our existing, well-established position in the regulated energy market.”