Renewable Energy Generation confirmed it was forced to sell the business after the government pulled the plug on a raft of green incentives.
A company spokesman said the green dismantling had a “profound” on the firm.
The spokesman added: “On 18 June 2015, the newly elected UK Government announced the start of a process of dismantling green incentives.
“The proposed policy changes include the closure of the Renewables Obligation (RO) to onshore wind and ground-mounted solar projects, continued reductions to the small scale wind feed-in tariff (FIT), elimination of onshore wind from feed-in tariff contracts for difference (CFD FIT), stricter planning policies with respect to onshore wind farms and elimination of the climate change levy (CCL) exemption for renewable generators.
“Any one of these factors alone would have a significant impact on the Group but, taken together, the impact is profound.”
The board has since been approached about a deal for the firm, which is valued at £65.4million.
Following completion of the sale and delisting, liquidators, pending shareholder approval, would be appointed to help oversee that the majority of the net cash proceeds of the sale be returned to shareholders.
The target liquidation distribution is expected to be approximately 60.0 pence per ordinary share.