Wood says Sidara takeover deadline extended to July 31

Wood Group HQ, Aberdeen

John Wood Group plc, the Aberdeen-based engineering and consulting giant, announced on Wednesday an extension to the “Put Up Or Shut Up Deadline” for Dubai-based firm Sidara, which on May 29 made “a fourth and final” cash takeover proposal for Wood.

That proposal of £2.30 per share would have valued Wood Group at about £1.59 billion, representing a premium of 52% to its closing share price before the first bid was made. Wood shares are currently trading around £2.06.

Wood said: “On 5 June 2024, the Board of Wood announced its decision to grant Dar Al-Handasah Consultants Shair and Partners Holdings Ltd (Sidara) access to due diligence materials in order to explore whether a firm offer could be made on the same financial terms as the fourth proposal submitted to the Board and announced by Sidara on 29 May 2024.

Sidara has recently notified the Board that it requires more time to finalise its due diligence and other preparations.

“Accordingly, the Board has requested and the Panel on Takeovers and Mergers has consented to an extension to the date by which Sidara is required either to announce a firm intention to make an offer for Wood in accordance with Rule 2.7 of the Code or to announce that it does not intend to make an offer, in which case the announcement will be treated as a statement to which Rule 2.8 of the Code applies.

“Such announcement must now be made by not later than 5.00pm on 31 July 2024. This deadline can be further extended by the Board of Wood, with the consent of the Takeover Panel.

There can be no certainty that an offer will be made. Further announcements will be made as appropriate.”