Wood Group, the Aberdeen-based engineering consultancy, has signalled support for a reduced takeover bid from Sidara, its Dubai-headquartered suitor, as financial and regulatory uncertainties continue to cloud the company’s outlook.
In a market statement issued earlier this week, Wood confirmed that its board is “minded to recommend” the new offer of 30 pence per share, subject to formalisation. The revised bid follows a previous non-binding proposal of 35 pence per share in April, which had valued the company at approximately £242 million.
The board’s position comes amid heightened scrutiny from the Financial Conduct Authority, which is investigating the company’s financial reporting practices. Wood has faced multiple delays in publishing its audited 2024 results after external auditor Deloitte flagged significant weaknesses in its financial controls. The company’s shares remain suspended on the London Stock Exchange.
Sidara, formerly known as Dar Al-Handasah Consultants, has been granted an extension until 5pm on 28 August to submit a binding offer. The latest bid reflects a lowered valuation following due diligence conducted over the summer.
Wood’s public market presence has weakened considerably in recent years. Its share price, which peaked near 880 pence in 2017, had fallen to around 18 pence before the suspension. The group has previously rejected multiple takeover approaches, including a £1.7 billion bid from Apollo Global Management in 2023 and an earlier Sidara offer in 2024, which was withdrawn due to geopolitical concerns.
If completed, the transaction would result in Wood being taken private and delisted from the LSE — an outcome that would place it alongside other recent UK-listed departures, including Flutter and Ashtead.
