An Edinburgh-based firm behind what was described as the world's largest commercial wave energy farm has ceased trading after a failed bid to find a new investor.

Administrators BDO LLP took over the running of wave energy developer Aquamarine Power in October as they sought a sale or investment.

But James Stephen, BDO business restructuring partner said that despite a "comprehensive marketing process and after speaking to a number of interested parties" there were no offers to continue Aquamarine Power as a going concern.

He said they had "no option but to cease to trade" the firm, whose Oyster 800 wave energy machine was hailed as the future of marine energy.  It will lead  to the loss of 13 jobs in Edinburgh and one in Belfast.

"Our duty now as joint administrators is to maximize recoveries from the asset base for the benefit of creditors," he added.

In 2013, it emerged its scheme which would see the installation of "the world's first ever" fully consented array of up to 50 wave devices in 10m of "some of the wildest seas in the world" off the north west coast of Lewis in the Hebrides.

The project along the coast at Lag na Greine, near Fivepenny Borve, described as one of the best wave energy locations in Europe, was to power nearly 30,000 homes.

BDO previously indicated that the firm, which had also been working on a key wave energy project in Orkney, had been "significantly affected" by the economic climate and a lack of private-sector backing to supplement public funding.

The wave energy developers had been testing their full-scale Oyster wave energy machines at the European Marine Energy Centre (EMEC) in Orkney.

Mr Stephen, a BDO business restructuring partner, said last month: "Whilst the company has seen many successes over the last few months, including securing an 800,000 euro (£580,000) grant from the EU as well as a £2 million contract from Wave Energy Scotland, the economic climate has significantly affected the business.

"The lack of private-sector backing to supplement public funding support placed the company under cashflow strain and the directors concluded the best prospect of concluding a transaction was via the protection of administration."