The UK’s Financial Conduct Authority (FCA) said John Wood Group plc — the troubled Aberdeen-based engineering and consulting giant — has been fined £12.9 million “for publishing inaccurate information in its financial results.”
Last November, Wood shareholders finally approved a cut-price takeover of Wood by Dubai-based Sidara, one of the world’s largest privately-owned architecture, engineering and consulting groups. The deal was conditional upon some “outstanding exceptional conditions.”
The FCA said: “Following the poor performance of certain projects, Wood Group’s accounting judgements were inappropriately influenced by its desire to maintain previously stated financial results.
“Wood Group did not have adequate systems, controls or procedures to prevent this from happening.
“This resulted in Wood Group publishing inaccurate information in its full-year 2022 and 2023 financial results and the half-year 2024 results.
“The company failed to take reasonable care to ensure that its announcements about those results were not false or misleading.
“These issues came to light from November 2024 onwards. Wood Group’s share price fell by 78% by April 2025 and its shares were suspended in May 2025.”
Steve Smart, FCA executive director of enforcement and market oversight, said: “Investors rely on accurate information to make decisions. Wood Group failed to provide this and fell well short of the high standards we expect of listed companies.”
The FCA opened its investigation into Wood Group in June 2025 and concluded it within nine months.
Wood Group accepted the findings and so qualified for a 30% reduction in its financial penalty.