Wood Group wants Sidara takeover finalised before end of June - report

(Sharecast News) - Wood Group is expected to request an extension to the so-called 'put up or shut up' takeover deadline for Sidara in an attempt to get the deal done before the end of June. According to Sky News, which quoted "industry insiders", Wood Group wants to finalise a £242m proposed takeover from Sidara before the end of the month, when a waiver of its debt covenants is scheduled to expire.

The current PUSU deadline is due to expire at 1700 BST on Thursday, having already been extended following the initial proposal from Sidara on 14 April. Under the current deadline, Sidara must either give a firm intention to make an offer or walk away.

The 35p-per-share offer is just a fraction of the 230p price tag proposed by Sidari in May 2024, before revelations about corporate governance and questionable financial results tanked the stock.

In a statement to the market last month, Wood Group said it was continuing to work with Sidara in relation to the pre-conditions to the most recent potential offer.

"In particular, Wood and Sidara are continuing to engage with Wood's lenders and noteholders in relation to both the Debt Modifications and the Sidara Liquidity Arrangements [...], and Wood is continuing to work with its auditor towards the publication of Wood's audited accounts for the financial year ended 31 December 2024."