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The Markets
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The Markets
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Oil & Gas Services

Wood Group holds guidance as bid deadline looms

John Wood Group PLC held guidance for 2023 despite what it called “an uncertain outlook”.

In a trading update, the FTSE 250-listed firm said against a backdrop of a weak first quarter in 2022, group revenue in this year’s first quarter increased to around US$1,450mln, reflecting good momentum across all business units and higher pass-through revenue. Group adjusted EBITDA was in line with expectations.

The firm is awaiting news from Apollo Global about whether the US private equity giant intends to make a firm offer ahead of the 17 May deadline.

Last month, it proposed a takeover price of 240p per share, valuing Wood at £1.66bn, which Apollo said represented a “compelling opportunity” for shareholders.

The company said its order book at 31 March was around US$5.7bn, slightly lower than at end-December 2022, reflecting the phasing of large multi-year awards in Operations.

Shares fell 0.2% to 221p.

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