The competitive wooden group enters Sidara in the VAE via the takeover talks

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Wood Group, the contested oil service and engineering company, whose assessment has fallen to less than 200 million GBP this month, has with the company based in the United Arab Emirates, which last year has a buyout proposal of 1.6 Billion GBP turned to her.

Sidara who went from a way Earlier takeover attempt Last August, after two people near the discussions, a new approach after the collapse of Wood’s share course has achieved in the past few weeks.

The talks about the future of Wood – once the great local success story of the British development of the North Sea – lasted on Monday morning, but it was possible that no deal would be completed, people said.

Wood’s shares rose by almost 37 percent on Monday after the Financial Times Sidara’s interest had reported.

The increase increased the group’s market capitalization to just over 240 million GBP, still a fraction of the approximately 1.6 billion GBP, which Sidara offered less than a year ago.

At the beginning of this month, the stocks had overthrew more than 60 percent in view of the questions of the operator based in Aberdeen and the strong debt burden.

Sidara, a private network of engineering and design companies from the United Arab Emirates, wanted to move quickly to ensure that it could keep senior and mid-ranking Wood Employees who have upset themselves about the emergency of the company and his decision to shorten bonuses, according to the people with knowledge of the discussions. People have not disclosed the conditions of a potential agreement.

According to the FT report, Wood confirmed that Wood had received an approach from Sidara for a possible offer for the entire group, and added that there was no certainty that an offer would be made.

After the takeover rules in Great Britain, Sidara has known, offered or going to be a firm intention until March 24th.

Sidara did not immediately answer a request for a comment. A person who was familiar with the thinking of the group said she had a “strategic conviction” in relation to Wood’s business, but remained careful with the associated risks.

The break -in in Wood’s share price has raised questions about the future of the operator, which, led by Sir Ian Wood, emerged from a family fishing company and transformed him into one of the richest men Scottish men.

He left the group in 2012, after selling the most shares of his family, and it is estimated that a fortune of more than 1 billion GBP is retained.

The company worth more than £ 5 billion GBP for taking over the technical competitor of 2.2 billion GBP AMEC Foster Wheeler in 2017, This month said this month that an independent review of “material” weaknesses in financial and governance had discovered culture in their project business.

The managing director Ken Gilmartin said at the time that he was “disappointed” and would try to sell assets to increase the cash flow.

By October next year, it will be in various debt facilities before the expiry of around 1.4 billion, and the collapse of the share price has increased a large equity.

Last week Woods Chief Financial Officer Arvind Balan, stepped down After he had admitted to the wrong view of his professional qualifications.

His departure added the crisis in Holz, which is one of the largest employers in Aberdeen, a city that has already covered the declining North Sea production and the Block of the British government through future hydrocarbon developments.

Wood examined other options, including a possible separation of the business by selling its armor, two people familiar with the conversations.

People said that the consulting business could be estimated with more than 1 billion GBP in order to increase the debt burden on the parent company on the right, since an increase in equity is a challenge.

However, the preference of the board was to sell the entire company, and two people familiar with the conversations who brought Sidara to the pole position.

Sidara used to be known as Dar-Handasah, which was founded in 1956.

The private equity company Apollo, which tried to buy wood for 2.2 billion GBP in 2023, is not expected this time to strive for a competing offer, according to the people near the company.

Wood, which employs 35,000 worldwide, is still one of handful of oil service companies that can work on the large -scale projects of the largest multinational oil multinational.

With the exception of BP and Shell, well-established multinational companies before the development of the North Sea in Great Britain-Wood Wood one of the few domestic groups in the sector that developed a global footprint.

Additional reporting by Alexandra Heal in London