Wood is in talks to be bought by Apollo Global Management, but no deal has been reached
Key Highlights :
1. John Wood Group has decided to engage with suitor Apollo Management Holdings on the US private equity player’s takeover approach at a “final price” of 240p a share.
2. Noting that Apollo, on behalf of certain investment funds managed by it, had on April 4 announced that it had submitted to its board a fifth proposal to acquire Wood at a “final price” of 240p per share in cash, the Aberdeen company told the stock market today: “The board remains confident in Wood’s strategic direction and long-term prospects, following a transformative year in 2022, including new executive leadership and a new strategy. However, having now weighed all relevant factors, particularly feedback received from Wood shareholders, the board has decided to engage with Apollo to see if a firm offer can be made on the same financial terms as the final proposal. Accordingly, the board will grant Apollo access to due diligence materials.”
3. Wood noted the final proposal from Apollo is “subject to a number of reservations, under which Apollo can make an offer on better or less favourable terms, as further described in Apollo’s announcement”.
4. The Scottish company declared: “Apollo has stated to the board that it values the skills and capabilities of Wood’s employees and believes the company is well positioned in its markets and at the forefront of the energy transition and industrial decarbonisation.”
5. Wood added: “There can be no certainty that any offer for Wood will be made. Further announcements will be made as appropriate.”
After receiving feedback from shareholders, the company has decided to engage with the suitor on its takeover approach at a "final price" of 240p a share.
The company is confident that this is the best course of action and that the suitor is the best possible partner for the future growth of the business.
The suitor is a well-established company with a strong track record in the industry, and the company believes that it has the potential to grow even further.
The company is confident that this is the best possible outcome for shareholders and the future of the business.
Continue Reading at Source : heraldscotland
