Member Info for Wiggly

Bd

RR had a suspension 2017

Some interesting dates to consider.

Wood and Sidara agreed to extend the PUSU date to April 17th while in knowledge the accounts would not be ready until >April 30th. Why didn't they extend beyond April 17th?

This week

So much misinformation being posted.

Suspension only required to complete the accounts, which are delayed due to timing of the review and need to incorporate the findings. This is a non issue.

The key takeaway is that WG has no material issues in Consulting, Operations, and Investment Services, the majority of Wood’s business remains solid.

Watch

Day light robbery

Keep the head.

There are lots of positives in the update

Findings of review as expected with positive news that the accounting issues relates to only certain contracts within projects.

Has to bounce strongly from here.

No more uncertainty = no more major risk.

The issue relates to only certain contracts within projects and not wide spread within WG.

Very positive.

Potential suspension is not really bad news. It is a technical issue due to the timing of the review and the need to update with results by April end

Strong Performance in Other Business Units – With no material issues in Consulting, Operations, and Investment Services, the majority of Wood’s business remains solid and profitable. These divisions provide a strong revenue base, reinforcing the overall value of the company.

Based on this report Sidara will bid as the issues relate to only certain contracts within projects and not wide spread to other parts of wg.

This is VERY positive news.

Issues identified in a limited number of contracts in Projects, particularly in relation to legacy lump sum turnkey ('LSTK') projects

No material issues identified in our other business units (Consulting, Operations and Investment Services)

Feb 14th Trading update

Independent review ('Review')

· The Review is continuing and Deloitte's work and assessment will need to be complete before any conclusions can be reached. However, significant work has been undertaken and based on that:

o  The Company does not expect that the findings of the Review will have a material impact on the Group's cash position or its ability to generate cash in the future

o  Following provisional indications from the Review, the Company is evaluating the extent of prior year adjustments which the Company expects will be required in relation to the Projects business unit and their impact on previously reported adjusted EBITDA for FY23 and any prior periods

o  The Company is initiating steps to strengthen significantly the Group's financial culture, governance and controls in light of material identified weaknesses and failures

Very favourable review from Deloitte.

Clear plan for cash flows to be positive 2026.

Why agree to lowball offer?

120p+ incoming

They would prefer to inject cash directly than sell to Sidara on the very cheap. Strengthen the balance sheet and wood becomes very strong again

Med

- If a 60p offer was leaked, the share price would already be at 60p. If the offer price is unknown or there is no price yet, that is why the share price is 'waiting' in the 40s for news.

The last confirmed offer was 230p, yet the price did not pass 200p. With so much uncertainty now (price not yet known, Deloitte findings not known), I suspect there is a much larger delta between the Sidara offered price and trading value.

No chance of a bid at 200p+, but all to play for at 100p plus or minus.

Great risk/reward from 39p.

At a VERY conservative EBITA 3.5x multiple, a 106p bid is justified

Enterprise Value (EV) Calculation

2025 projected EBITDA: £394 million

Applying a 4.5x EBITDA multiple (from Sidara’s last bid):

EV = £394 million × 4.5 = £1.77 billion

Net Debt Adjustment

Net Debt (excluding leases): £690 million

Equity Value = EV – Net Debt:

£1.77 billion – £690 million = £1.08 billion

Per Share Valuation:

£1.08 billion / 650 million shares = ~166p per share

Valuation at Lower Multiples

3.5x EBITDA → EV = £1.38 billion → Equity Value = £690 million → 106p/share

4.0x EBITDA → EV = £1.58 billion → Equity Value = £890 million → 137p/share

Even at a conservative 3.5x multiple, a 106p bid is justified, while 4.5x supports 166p or more.

As there is a need to recapitalise, expect 3.5x to be approved.

180p never going to happen.

Manipulation at its finest

Provide access to DD, if the offer was low ball?

Wood subsequently received a non-binding, conditional proposal from Sidara related to a possible cash offer for the Company. Following this, Wood provided Sidara with access to due diligence information and entered into discussions with Sidara.