Note 7.- Investments carried under the equity method

The table below shows the breakdown and the movement of the investments held in associates for 2020 and 2019:

Investments in associates	2020			2019
Initial balance		139,925			53,419
Share of (loss)/profit		510			7,457
Distributions		(23,703	)		(36,780	)
Acquisitions		-			113,897
Others (incl. currency translation differences)		(118	)		1,932
Final balance		116,614			139,925

Decrease in investments carried under the equity method in 2020 is primarily due to distributions received from the projects Honaine for $4.5 million ($4.6 million in 2019) and Amherst for $16.1 million ($25.9 million in 2019). A significant portion of the distributions received from Amherst are distributed by the Company to Algonquin Power Co. (Note 13).

On May 24, 2019, Atlantica and Algonquin formed AYES Canada, a vehicle to channel co-investment opportunities in which Atlantica holds the majority of voting rights. The first investment was in Amherst Island, a 75 MW wind plant in Canada owned by the project company Windlectric. Atlantica invested $4.9 million and Algonquin invested $92.3 million, both through AYES Canada, which in turn invested those funds in AIP, the holding company of Windlectric. Atlantica accounts for the investment in AIP and ultimately Windlectric under the equity method as per IAS 28, Investments in Associates and Joint Ventures. Since Atlantica has control over AYES Canada under IFRS 10 Consolidated Financial Statements, its consolidated financial statements initially showed a total investment in the Amherst Island project of $97.2 million, accounted for as “Investments carried under the equity method” and Algonquin’s portion of that investment of $92.3 million as “Non-controlling interest”.

On August 2, 2019, the Company closed the acquisition of a 30% stake in Monterrey, a 142 MW gas-fired engine facility with batteries. The total investment amounted to $42.0 million, out of which $16.7 million is an equity investment, and the rest is a shareholder loan classified as financial investments in these consolidated financial statements. The acquisition has been accounted for in the consolidated accounts of Atlantica, in accordance with IAS 28, Investments in Associates.

The tables below show a breakdown of stand-alone amounts of assets, revenues and profit and loss as well as other information of interest for the years 2020 and 2019 for the associated companies:

Company	% Shares		Non- current assets		Current assets		Non- current liabilities		Current liabilities		Revenue		Operating profit/ (loss)			Net profit/ (loss)			Investment under the equity method
Evacuación Valdecaballeros, S.L.		57.16		19,531		1,130		16,721		646		853		(167	)		(194	)		976
Myah Bahr Honaine, S.P.A.(*)		25.50		165,688		57,808		71,867		12,742		50,739		30,519			12,402			39,204
Pectonex, R.F. Proprietary Limited		50.00		2,743		-		-		1		-		(168	)		(168	)		1,587
Evacuación Villanueva del Rey, S.L		40.02		3,201		134		1,861		257		-		52			-			-
Ca Ku A1, S.A.P.I de CV (PTS)		5.00		468,131		156,528		604,986		25,773		80,240		17,415			1,615			30
Pemcorp SAPI de CV (**)		30.00		127,429		121,468		258,295		4,725		28,832		3,068			(6,237	)		15,514
ABY Infraestructuras S.L.U.		20.00		135		84		-		63		-		(53	)		(53	)		17
Windlectric Inc (***)		30.00		316,251		7,229		216,765		31,403		23,663		10,451			(493	)		59,116
Other renewable energy joint ventures (****)		50.00		323		210		-		19		-		(66	)		(66	)		169
As of December 31, 2020																				116,614

Company	% Shares		Non- current assets		Current assets		Non- current liabilities		Current liabilities		Revenue		Operating profit/ (loss)			Net profit/ (loss)			Investment under the equity method
Evacuación Valdecaballeros, S.L.		57.16		18,584		1,268		13,145		783		694		(277	)		(303	)		2,348
Myah Bahr Honaine, S.P.A.(*)		25.50		184,332		63,148		71,614		13,562		51,504		33,372			30,186			45,222
Pectonex, R.F. Proprietary Limited		50.00		3,074		-		-		2		-		(190	)		(190	)		1,391
Evacuación Villanueva del Rey, S.L		40.02		2,946		107		1,841		225		-		47			-			-
Ca Ku A1, S.A.P.I de CV (PTS)		5.00		486,179		55,423		-		543,077		-		(39	)		(495	)		-
Pemcorp SAPI de CV (**)		30.00		125,301		72,669		197,324		5,090		32,302		5,737			(10,073	)		17,179
ABY Infraestructuras S.L.U.		20.00		-		59		-		-		-		(104	)		(101	)		11
Windlectric Inc (***)		30.00		319,041		10,655		232,938		22,424		24,867		11,125			(6,537	)		73,693
Other renewable energy joint ventures (****)		50.00		47		146		6		70		-		(46	)		(46	)		81
As of December 31, 2019																				139,925

The Company has no control over Evacuación Valdecaballeros, S.L. as all relevant decisions of this company require the approval of a minimum of shareholders accounting for more than 75% of the shares.

None of the associated companies referred to above are a listed company.

(*) Myah Bahr Honaine, S.P.A., the project entity, is 51% owned by Geida Tlemcen, S.L. which is accounted for using the equity method in these consolidated financial statements. Share of profit of Myah Bahr Honaine S.P.A. included in these consolidated financial statements amounts to $3.1 million in 2020 and $7.7 million in 2019.

(**) Pemcorp SAPI de CV, Monterrey´s project entity, is 100% owned by Arroyo Netherlands II B.V. which is accounted for under the equity method in these consolidated financial statements. Arroyo Netherlands II B.V. is 30% owned by Atlantica. Share of profit of Pemcorp SAPI de CV included in these consolidated financial statements amounts to a loss of $1.9 million in 2020 and a profit of $0.5 million in 2019.

(***) Windlectric Inc., the project entity, is 100% owned by Amherst Island Partnership which is accounted for under the equity method.

(****) Other renewable energy joint ventures correspond to investments made in the following entities: AC Renovables Sol 1 SAS Esp, PA Renovables Sol 1 SAS Esp, SJ Renovables Sun 1 SAS Esp and SJ Renovables Wind 1 SAS Esp.