ABERDEEN-headquartered Wood Group has extended its deadline to its Dubai-based suitor Sidara for a potential takeover.
Sidara, previously known as Dar Al-Handasah Consultants Shair and Partners, was given until July 5 to present their final proposal or to withdraw. This deadline was then extended to July 31, and has now been further extended until August 9, following approval from the Takeover Panel for an additional extension.
The firm also left the possibility of a third extension on the table. It said: “This deadline can be further extended by the board of Wood, with the consent of the Takeover Panel.”
The Middle East firm initially made an approach to Wood in April with an offer of 205p per share. This was quickly declined, and they made a second offer of 212p per share. A third proposal of 220p per share was made, before Wood agreed to discuss terms with Sidara after receiving a bid of 230p per share on May 29.
The Lebanese-founded design and engineering business SIdara rebranded to its new name last year. It’s reported that it sold off a $1.4 billion (£1.12 billion) stake in an Australian engineering services company Worley in April, in preparation for its approach to Wood.
The company, founded in 1956, generates approximately half of its $2.3 billion (£1.84 billion) in revenue in the US and was seen as a potential partner for Wood to expand its presence in new oil and gas projects and renewable energy.
About a quarter of Wood’s revenue in the previous year came from the US.
