Member Info for jenashon

Looks like the shorts have got these derampers working overtime - are they getting nervous ?

Sidara's Interest in Worley vs Wood Group ( Why are Sidara interested in Wood, why did they sell stake in Worley)

Sidara initially pursued Worley, attracted by its expertise in sustainable solutions and engineering, a competitor of Wood Group

Worley was a more expensive takeover target compared to Wood Group. ( Sidara had been building a stake)

Pivot to Wood Group - When Apollo’s bid for Wood Group failed and became public, Sidara saw an opportunity. Immediately Selling its 19% stake in Worley allowed Sidara to shift focus to Wood Group, a cheaper option at the time, compared to what the Worley takeover would have cost.

Failed Bids and Strategy - Wood Group rejected Sidara’s earlier bids, citing undervaluation. Sidara paused to reassess and strategize before resuming talks Immediately after its lockout , showing a calculated and persistent approach.

Neil Bruce's Influence - Neil Bruce, now on Sidara’s board, brings extensive expertise in handling acquisitions similar to Wood Group, as demonstrated in his leadership during SNC-Lavalin's takeovers of Kentz and Atkins.

Kentz and Atkins Comparison takeovers

Kentz:

Revenue: $1.66 billion (2013).

Employees: 14,500.

Acquisition Cost: £1.2 billion.

Timeline: ~2 months.

Atkins:

Revenue: £2.08 billion (2017).

Employees: 18,300.

Acquisition Cost: £2.1 billion.

Timeline: ~2.5 months.

Both deals emphasized expertise and strategic market expansions for SNC & Neil Bruce, similar to Sidara’s interest in Wood Group. ( Also expect Neil Bruce is still very ambitious & this deal will rebuild his reputation)

Likely Outcome for Sidara-Wood Group

Sidara’s return after the lockout shows determination to secure the deal. With a deadline approaching on April 17, 2025, the patterns of persistence, calculated timing, and strategic positioning suggest that Sidara may make a compelling offer for Wood Group soon. It definitely looks like the plans sidara have been making, first to build up a stake in Worley, then to sell its stake in Worley & pursue Wood, are for Sidara to be able to combine this Engineering expertise into the Sidara portfolio which currently does not have the scale of Wood or Worley for the projects which Sidara is wanting to pursue, especially as Middle Eastern mega cities/projects are being planned & the region is transitioning from fossil fuels.

I can’t see Sidara giving up & going back to have another try at Worley, or looking for another Engineering company.

Either way Wood is still an amazing engineering company & should do ok – Whoever controls Energy controls the future.

It is interesting what Jim Cramer (hedge fund manager) explains he does when in that hedge fund mode - Shorting,

"Not do anything remotely truthful, because the truth is so against your view, its important to create a new truth to develop a fiction, You can't have the market up" - You can't take any chances, who cares about the fundamentals" - "Yeh -its a pretty good game"

Icecool - seems their trying to where down the Longs - Have you seen this

https://www.youtube.com/watch?v=8HXziyCvPNs

its like a game of poker to the shorts.

If you believe you have a winning hand in poker, you want everyone else to put in as much cash as they possible can. You don't want to tip them off in any fashion that you have the winning hand. You want the pot to get as big as possible when you show your hand. If you don't have a good hand and are bluffing, you need to be sneaky putting in bets when you really know you don't have a good hand hoping that the other players fold their winning hands. You don't even want others to put more cash in the pot since you want them to drop out of the game.

I agree Icecool & Surin, Global challenges like tariffs and economic uncertainty affect all businesses, Wood Group's specialized expertise and limited competition give them a strong foundation. For Sidara, this creates a timely opportunity to move forward with the takeover. However, shareholders will expect a respectable bid that reflects the company's value, even in the current climate. Success will depend on Sidara crafting an offer that meets these expectations while staying financially viable. Their ability to adapt and capitalize on Wood Group's strengths will be key to closing the deal.

Sidara's actions and the timeline surrounding the "put up or shut up" deadline suggest a complex unfolding of events. Here's a summary of the situation and potential developments: Current Context

Sidara sold its 19% stake in Worley last year, signaling a shift in focus and freeing up capital for other strategic moves.

Sidara has shown renewed enthusiasm for acquiring Wood Group, despite walking away from a previous bid of 230p per share citing geopolitical and economic concerns.

Wood Group's financial challenges, including delayed audited accounts and governance issues, have created uncertainty but also made it a potentially attractive acquisition target at a lower valuation.

Timeline and Likely Events - Due Diligence and Negotiations:

Sidara is conducting extended due diligence and discussions with Wood Group. The financial restatements and Deloitte's review findings may influence Sidara's decision

April 17 Deadline: Sidara must decide whether to make a firm offer or walk away by this date. Given its enthusiasm and the strategic value of Wood Group, Sidara is likely to table a conditional offer close to the deadline.

Potential Offer: A revised bid may range between 180p and 210p per share, reflecting the risks associated with Wood's financial and governance issues.

Impact of Delayed Accounts: If Wood's audited accounts are not finalized by April 30, shares may be suspended, adding complexity to the takeover process. Sidara might leverage this situation to negotiate favorable terms.

Predicted Outcome : Sidara's enthusiasm and strategic interest suggest a high likelihood of a new proposal before the deadline. However, the bid may be conditional, with provisions to adjust based on Wood's finalized accounts. The situation remains fluid, and further developments could arise as the deadline approaches.

Surin - Worley's current market valuation is approximately AUD 7.93 billion. Based on this valuation, Sidara's 19% stake would be worth around AUD 1.51 billion. If Sidara had tried to gain control of Worley they would have had to pay a lot more than they initially bid for Wood Group - so they must have the cash available. Maybe sidara had looked at building a majority shareholding in Worley but would have had to deal with other investors. They probably want complete control.

Wood Group disclosed and began addressing its governance and financial issues as early as November 2024, suggesting these concerns are likely under control now. It’s possible Sidara flagged or was aware of these issues during its initial due diligence, given Neil Bruce’s prior concerns during the Foster Wheeler takeover at Amec. Ultimately, these challenges appear manageable, and Wood Group is continuing business operations successfully. Sidara will see this as an opportunity to acquire a strong company, they may look for a discount - but they presumably want Wood as its less expensive than Worley & hopefully they will present a respectable bid

Interesting @Surin yes, How valuable is Wood Group to Sidara ? Sidara definitely has an agenda for combining a company with Wood Groups expertise into the Sidara portfolio - Sidara had previously built up a 19% stake in Worley. They must have been following the news that Apollo was in takeover talks & as soon as Apollos final bid was turned down, Sidara sold its 19% ($1billion) stake in Worley (April 2024) & was knocking on Wood Groups door. So, Sidara want either Worley or Wood, probably as a whole company as those other takeovers in Sidaras portfolio have remained as companies inside Sidara's umbrella.

Or has the SP been manipulated to get where it is ? How The Big Players Manipulate The Stock Market - Is this whats happening here, this guy explains how it works -

https://seekingalpha.com/instablog/2918951-g-hudson/1026551-how-the-big-players-manipulate-the-stock-market

Might help to reassure anyone who is in.

Sidara didnt must have been looking at Wood Group for quite a long time - They already acquired C&I Engineering from Aberdeen - the guys at C&I are ex Wood Group + they must have recruited Neil Bruce to the Sidara board (also an Aberdeen oil man) So Sidara must have been looking at Wood Group & planning a takeover for Quite a while, they will have Neil Bruce & the C&I Engineering guys really checking everything out to give them amunition for the negotiating the deal. Neil Bruce is no Coincidence being on Sidara's board. - just an opinion.

Regarding Sidara trying to buy up cheap at this price - It may not be possible, as most of the shares are in the hands of the institutions I believed, so why would the institutions sell to Sidara at this price.

Stupmy, god idea

If the employees are following the SP & worried about the future, then why not get together & push out the shorts ? Who seem to be doing all the damage. If there are 36000 employees & the shorts have 34.3million shares - If the 36000 employees each buy about £250 worth of shares it might squeeqe out the shorts & also be an investment in the employees future.

I saw a post mention why is there no news ? There has been quite a lot of positive news in March -

New office opened in Australia to support growth in Northern Territory's

Middle East Transition Hub Launched to serve clients in Middle East

New Office opened in New Orleans to deliver brownfield engineering & Decommissioning projects

Contract Awarded to Decarbonise Speyside's Whiskey industry

Wood are getting on with the task of running a thriving company as well as talking to someone who wants to buy them out. Is it Ironic - Who discovered oil in the Middle East, Who is the Middle East turning to, to transition to New Energy ?

Probably short term taking advantage of The tarrif situation in USA

According to the 2 analysts' twelve-month price targets for John Wood Group, the average price target is GBX 200. The highest price target for WG is GBX 250, while the lowest price target for WG is GBX 150. The average price target represents a forecasted upside of 576.13% from the current price of GBX 29.58.

https://www.marketbeat.com/stocks/LON/WG/forecast/

@Discus1 - good find, Decommissioning the world’s ageing offshore oil and gas infrastructure is estimated to cost $300billion - Wood are in the right place to benefit, New office opens in New Orleans .

https://www.ft.com/video/ac116e39-868e-47f1-93ab-96f5f62a549f?playlist-name=latest&playlist-offset=0

https://www.woodplc.com/news/latest-news-articles/2025/new-orleans-area-office-opening

Wood Group has developed a “fit for purpose” process for decommissioning & is in demand for that skill quality.

Expect to see more orders.

 BP promised investors it would bring 10 major projects online in the next two years

BP 18 March saw Iraq’s Council of Ministers approve BP’s US$25bn+ contract to develop five Kirkuk oil fields. William Lin, BP’s head of gas, told analysts at the end of February that BP plans to drill about 40 new wells in the next three years

 https://www.ft.com/content/704b6788-bf2d-42c4-b437-f2828903bb74

This is good news for Wood Group as Wood Group have a Strategic Alliance with BP

https://newsday.co.tt/2024/08/23/wood-bp-sign-strategic-alliance/

https://www.upstreamonline.com/production/bp-delivers-first-gas-from-trinidad-project/2-1-1801834

Good points Surin - the issues that Wood have been addressing seem to be legacy issues which stem from the Foster Wheeler takeover. Massive fixed price contracts cause a lot of issues for all contactors - the current CEO inherited issues which he is trying to deal with - Sidara knew all about Foster Wheeler & the issues that it had, Neil Bruce tried to prevent Amec taking over Fister Wheeler due to those issues. Wood is showing Sidara tgat those issues are being addressed. Sidara would not still be at the table if Neil Bruce had said what he said about Foster Wheeler when he was at Amec.

Wood is advertising loads of jobs worldwide on its careers page here

https://ehif.fa.em2.oraclecloud.com/hcmUI/CandidateExperience/en/sites/CX_1/jobs?mode=location