Billionaire industrialist Sanjeev Gupta plans to create a new listed renewable energy giant by breathing life into tidal power company Atlantis Resources.

Aim-listed Atlantis will buy the aging Uskmouth coal plant in South Wales from Simec Energy, a subsidiary of Mr Gupta's $10bn turnaround group GFG Alliance.

In return Simec will take a 49.9pc stake in Atlantis, which will be renamed Simec Atlantis Energy.

The £200m plan will see Uskmouth converted from coal to burning renewable biomass pellets.

The deal creates a “highly-diversified, global green power enterprise”, which is expected to grow further through a string of similar deals with Simec Energy in the future. Simec is also behind plans for a string of remote Scottish tidal power turbines.

It also brings Atlantis into GFG Alliance and marks Mr Gupta’s first move into the London Stock Exchange.