A buyer is being sought for an established Welsh-based tidal stream technology company which has entered administration.
Tidal Energy Ltd, which was set up in 2001, uses technology to harness the power of the sea's tides to provide a sustainable source of renewable electricity. It operates out of offices in Cardiff and Pembroke Dock.
However, the sector has suffered from economic and political uncertainty in recent times, due to the withdrawal of previous government subsidy promises under the Contracts for Difference regime.
Joint administrators Steve Wade and David Hill – from business rescue and recovery specialist Begbies Traynor – were appointed on October 17.
The administrators have retained key staff to continue the company’s operations and specialist knowledge while a buyer is sought for the business and assets as a going concern.
Tidal Energy Ltd has developed tidal stream technology called “DeltaStream”, a full scale 400KW turbine that has been successfully tested at Wales’s first tidal energy site at Ramsey Sound, in Pembrokeshire, west Wales. The Ramsey Sound site is also owned and operated by the company.
Tidal Energy Ltd Director, Chris Williams, said the results of testing the technology made the company a strong commercial prospect. “The full turbine characteristics have been tested and verified, and we also possess a wealth of data and information that makes the whole operation, including the turbine and the Ramsey Sound site an attractive proposition to potential partners,” said Mr Williams.
“Unfortunately, market forces have meant we have struggled financially, but we are confident that we have the skillsets amongst our people and a tried and tested technology in place that makes us confident about our future prospects. We therefore strongly believe we can help the UK lead the world in the development and application of tidal technology."
Administrator, Steve Wade, from Begbies Traynor, said the economic climate had had a “significant” impact on the company’s business.
“We hope, however, that by working closely with the board of directors and government agencies we can attract potential purchasers to emerge from a variety of different sources,” he said.
Steve is a qualified insolvency practitioner, having started his accountancy career with Deloitte Haskins & Sells, staying with them through the various mergers until leaving Price Waterhouse Coopers in the late 1990s. He then spent a few years working in credit insurance underwriting and recoveries, before joining Begbies Traynor in 2002 to help set up its first office in south Wales based in Newport. He moved to the Cardiff office following Begbies' acquisition of a leading liquidation practice in the city and currently works on trading assignments, as well as other corporate appointments and business reviews.
A keen musician, Steve spends much of his free time playing for a number of groups performing across south Wales and beyond.