One of the north-east’s biggest employers, Wood, is mulling a ‘fourth and final” takeover proposal worth nearly £1.6 billion from a Middle East suitor.
Shares in Wood fell by almost 2.5% after it revealed it was “evaluating” the £2.30 per share approach.
Each unit of Wood stock was worth 185.6p at today’s market close.
The FTSE 250-listed project management and consultancy services giant is being courted by Lebanese company Dar Al-Handasah Consultants Shair and Partners.
The three previous proposals
Dar’s initial approach on April 30 was worth £2.05 per share.
It followed that up on May 14 with a proposal worth £2.12 per share.
Last Friday it said it was willing to pay £2.20 for each unit of stock.
Responding to the latest proposal offering 10p more and valuing the Aberdeen firm at £1.59bn, Wood said: “The board, together with its financial advisers, is evaluating the final proposal and a further announcement will be made in due course.
“There can be no certainty that an offer will be made.”
No discussion between firms
Wood stressed it had not engaged with Dar, also known as Sidara, since the Middle East firm made its first approach
Dar has confirmed its latest proposed offer is final and will not be increased.
The potential deal is worth 30.4% more per unit of stock than Wood’s 52-week high share price, as of April 29 2024, excluding days when the firm was in an offer period.
Under City “put up or shut up” rules, Dar has until 5pm next Wednesday to either announce a firm intention to make an offer – or walk away.
Wood’s global headcount totals more than 35,000 people, including about 4,500 in Aberdeen.
Earlier this year the company revealed pre-tax losses from continuing operations totalled £49.6 million during 2023, compared with losses of about £547m in 2022.
Revenue was 8.7% higher in the latest period, at £4.67bn.
Recruitment drive
The firm also said it was recruiting for 200 new jobs in Aberdeen and 500 UK-wide.
And at the start of this month it announced plans to create 40 new roles in a Granite City-led project to help French energy giant TotalEnergies reduce its carbon footprint.
Beirut-headquartered Dar describes itself as “one of the world’s leading consultancies, providing design, planning, engineering, sustainability consulting, digital solutions and services, and project management for buildings, cities, transportation, civil infrastructure, water and the environment”.
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