Vattenfall buys Amec's wind developments arm for £126.6m

Amec has sold its loss-making wind developments arm to Vattenfall for £126.6m.

The company said it had taken a strategic review which identified greater potential for its business in the delivery of wind farms than in their development.

Meanwhile the two companies announced a framework agreement to work collaboratively in the sector to "complement each other's skills and resources".

Amec said it already had a strong position in wind farm delivery in Canada and saw opportunities to expand in other parts of the world.

The eight-year-old Amec Wind division was set up to develop a portfolio of potential sites for on- and off-shore wind farms. It generated a £6.2m pre-tax loss for the year ended 31 December 2007.

The portfolio consisted of one site under construction and eight sites in varying stages of the planning process.

Amec chief executive Samir Brikho said: "This is an excellent deal for both Amec and Vattenfall. We are delighted to be working with Vattenfall as they build their position in the UK wind energy market.

"This is an area of national importance and together we look forward to making a significant contribution towards the UK's targets for energy from renewable sources."