iSelect Limited (ASX:ISU) will buy the Energy Watch energy comparison service for $10 million.
The comparison and referral service launched iSelect Energy in 2012 and energy is one of its fastest growing businesses.
CEO Alex Stevens says Energy Watch will be maintained as a separate business for the foreseeable future and that it will unlock significant synergies.
Mr Stevens see ongoing deregulation of state energy markets and retail energy price fluctuations as driving price sensitivity among consumers which should grow demand for comparison services.
iSelect posted a net profit of $3.68 million in the first half of the 2014 financial year.
