Prudential has been named as the cornerstone investor in Tidal Lagoon Swansea Bay.
The deal forms part of Prudential’s commitment to invest alongside five other major UK insurance companies a total of £25 billion in the UK’s infrastructure over the next four years.
Prudential’s long-term insurance funds will provide the funding through its European asset management arm, M&G Investments. In the UK, Prudential currently manages around £25.8 billion of direct infrastructure investments.
Tidjane Thiam, Group Chief Executive, Prudential plc, said:
“The financing of this power station is emblematic of the role that Prudential plays in transforming the hard-earned savings of millions of our customers into long-term, productive investment in the UK economy. Such investments provide our customers with strong and sustainable returns, create good jobs and increase productivity and economic competitiveness. Prudential is committed to invest in infrastructure projects that benefit the national economy. We are also proud to play our part in the development of this world-leading renewable energy technology.”
Mark Shorrock, Chief Executive, Tidal Lagoon Power Ltd, added:
“Securing the backing of a world-renowned investment institution marks another major milestone for the Swansea Bay project and is a clear endorsement of our vision to introduce tidal lagoon infrastructure into the UK’s low carbon energy mix. Tidal lagoons will employ British industry to harness a British natural resource and return profits to British institutions.”