Glasgow-based temporary power supplier Aggreko said on Friday it has withdrawn from the bidding process for the 2016 Rio de Janeiro Olympic and Paralympic Games.

Aggreko’s shares were down roughly 2.5% in afternoon trading.

“The contracting entities have taken the decision to award the power provision in parts and we have been advised that we have not been awarded the first tranche of contracts,” said Aggreko in a Regulatory News Service statement.

“Given the preparation required for an event of this scale, we have withdrawn from bidding for the remaining tranche.”

Chris Weston, Aggreko chief executive, said the company gave considerable thought to its decision to withdraw from the bidding process.

“We wish Brazil, the Rio 2016 Committee and the International Olympic Committee the very best for a successful games,” said Weston.

Aggreko has been involved in nine Olympics and six World Cups and the loss of the Rio contract could have an impact on the company’s 2016 earnings.

Aggreko’s involvement in the London Olympics in 2012 was worth almost $60 million.