Atlantis tidal power firm sells 2% stake

Atlantis Resources sells power subsidiary to Belgian offshore construction specialist DEME

Tidal company Atlantis Resources has sold a 2% stake in its Scottish tidal power subsidiary to Belgian offshore construction specialist DEME.

The deal will see DEME pay £2 million for the 2% stake, which implies a value of £100 million on the business.

The two companies will also work together on the construction of Atlantis’s offshore power project portfolio.

Alain Bernard, DEME group’s chief executive, said that the transaction is a vital move for it to fulfil its ambitions for the tidal energy industry. 

“Moreover, it consolidates the company's presence in the UK as DEME's involvement in the UK offshore business dates back to the early years of offshore wind.”

The deal comes a month after Atlantis entered into a partnership agreement with Equitix, a developer, investor and fund manager of infrastructure assets with more than £1.7 billion of funds under management.

Under this agreement, Atlantis and Equitix plan to work together to advance Atlantis’ portfolio of tidal power projects in Scotland, which represent a combined potential capacity of almost 650MW.  

In the next two years Atlantis anticipates committed capital investment of almost £500 million for construction of the company’s Scottish portfolio, from a combination of debt, equity and grants.  This includes £51 million already committed for the current construction of the first phase of the MeyGen project, which is scheduled to produce first power this year. 

Tim Cornelius, chief executive of Atlantis, said: "This agreement with Equitix, a leading infrastructure investment specialist, is an important step for us in engaging a partner with both vital experience of large infrastructure projects and access to extensive capital, coupled with a desire to work with us to accelerate the further development of the UK’s tidal power industry.”