Wood Group Approached by Sidara with Enhanced Takeover Bid

Deal News | Apr 14, 2025 | Zawya

Wood Group Approached by Sidara with Enhanced Takeover Bid

Wood Group, a UK-based oilfield services and engineering firm, has seen its shares rise following a proposal from Dubai’s Sidara. The proposal, valued at approximately £242 million, includes both cash and additional contingent payments. Sidara must submit a formal bid by April 17. This comes after Sidara had retracted an earlier bid due to geopolitical and market risks. Despite past rejections, Wood Group is now open to Sidara's offer, contingent upon shareholder agreement. This proposal follows a strategic review by Wood Group amid financial challenges and pressures from activist investors. Wood Group is also exploring refinancing options and addressing past project management issues. The market's response to the news has been positive, with shares rising by 28%.

Sectors

  • Oilfield Services and Engineering
  • Consulting and Advisory

Geography

  • United Kingdom – Wood Group is a British company operating out of the United Kingdom.
  • Dubai – Sidara is based in Dubai, as indicated in the takeover proposal.

Industry

  • Oilfield Services and Engineering – Wood Group operates within the oilfield services and engineering industry, providing support and solutions for energy companies globally.
  • Consulting and Advisory – Sidara operates within the consulting and advisory sector, offering engineering and advisory services likely availed by Wood Group.

Financials

  • £242 million – The value of the takeover bid proposed by Sidara for Wood Group.
  • $450 million – The total cash component included in Sidara’s offer, contingent upon shareholder approval.
  • 35 pence per share and additional $250 million – Individual share offer and contingent cash payment part of Sidara's proposal.

Participants

NameRoleTypeDescription
Wood GroupTargetCompanyA British oilfield services and engineering company that is the target of Sidara's takeover proposal.
SidaraBidding CompanyCompanyA Dubai-based engineering and consulting firm proposing a takeover of Wood Group.
U.S. GovernmentGovernmentGovernmentThe U.S. President's tariffs are mentioned as a factor causing market turmoil and impacting Sidara’s initial plans.