(Reuters) -Dubai-based Sidara is considering reducing the price of its takeover bid for Wood Group, as Britain's financial watchdog has launched a probe into the oilfield services provider, the
Sidara Considers Lowering Wood Group Takeover Bid Amid FCA Probe
Sidara's Takeover Bid and Regulatory Concerns
(Reuters) -Dubai-based Sidara is considering reducing the price of its takeover bid for Wood Group, as Britain's financial watchdog has launched a probe into the oilfield services provider, the Financial Times reported on Thursday, citing people familiar with the matter.
It is not clear by how much Sidara might reduce the price, the report said, adding that the company is concerned about legal exposure that could emerge from the Financial Conduct Authority's investigation into Wood Group.
The probe, which was disclosed last month, had begun following Wood Group's announcement last year of an independent accounting review related to some contracts and charges.
Details of the FCA Probe
Sidara is frustrated about the time it is taking Wood to file its accounts for 2024, according to the report.
Sidara's Concerns and Frustrations
Reuters could not immediately verify the report.
Sidara and Wood Group did not immediately respond to a Reuters request for comment.
Financial Details of the Bid
In April, the British oilfield services and engineering company had received a proposal from Sidara comprising a takeover bid worth about 242 million pounds ($328.54 million) and up to $450 million in cash. Sidara has until July 28 to make a firm offer, walk away or get an extension.
($1 = 0.7366 pounds)
(Reporting by Shivani Tanna in Bengaluru; Editing by Mrigank Dhaniwala and Eileen Soreng)
