Dubai's Sidara weighs lowering Wood Group offer after UK regulator's probe, FT reports
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.
Sidara is frustrated about the time it is taking Wood to file its accounts for 2024, according to the report.
Reuters could not immediately verify the report.
Sidara and Wood Group did not immediately respond to a Reuters request for comment.
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)
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
The Independent
6 minutes ago
- The Independent
Almost 50,000 firms near collapse amid ‘immense strain' from tax hike
Nearly 50,000 UK companies are on the brink of collapse with retailers and hospitality firms among the hardest hit as rising wage costs due to budget measures put small firms under 'immense strain', according to a report. The latest Begbies Traynor red flag alert found that firms in critical financial distress rose by more than a fifth – 21.4% – year-on-year to 49,309 in the second quarter. Consumer-facing industries saw some of the most 'extreme' rises in critical financial distress, with a 41.7% surge among bars and restaurants, a 39% leap for travel and tourism and 17.8% jump for general retailers. Begbies warned that many independent pubs will not have the scale to withstand the pressures for another year without action. Ric Traynor, executive chairman of Begbies Traynor, said: 'The sharp rise in critical distress underscores just how tough the economic environment is for UK businesses and it's abundantly clear that tens of thousands of firms are struggling to stay afloat. 'Small and medium sized businesses across the UK are being put under immense strain by the recent increases to employer's NI as well as the increase to the national minimum wage. 'With limited financial headroom to absorb rising costs, many businesses are now reaching a tipping point.' It is the latest sign of the toll taken on many firms by the Government's move in last autumn's budget to increase national insurance contributions (NICs) and hike the minimum wage, both taking effect in April. Labour-intense companies in particular have felt the impact, such as retailers and restaurants and bars. Troubles in the sector have been compounded by a pull back in consumer spending, according to Begbies. Julie Palmer, a partner at Begbies Traynor, said: ' Households are still grappling with their finances, and this is keeping consumer confidence volatile. 'The knock-on effect of this is clear to see in the consumer-facing sectors where margins are thin, growth is hard to come by, and the impact of higher employee costs is pushing many businesses to the brink of collapse. 'So, it is of no surprise to me that while larger pub groups might be performing well, by squeezing out extra efficiencies to counteract onerous price rises, many independent players won't have the scale to withstand the pressures of this environment for another 12 months if nothing improves.' The British Beer and Pub Association (BBPA) recently estimated that 378 pubs will close this year across England, Wales and Scotland, which it said would amount to more than 5,600 direct job losses. The wider economy is also showing signs of strain, with recent official figures revealing gross domestic product shrank by 0.1% in May, following a 0.3% drop in April. 'With no end in sight to the current economic malaise, I fear the financial burdens companies are enduring at present are simply too high for many not to avoid collapse,' said Ms Palmer.
The Independent
6 minutes ago
- The Independent
‘More to do' on US steel tariffs than Trump and PM can resolve, minister signals
There is unlikely to be a 'resolution' in talks over US tariffs on UK steel when Donald Trump and Sir Keir Starmer meet on Monday, Jonathan Reynolds indicated, saying there was 'more to do' in negotiations. The Prime Minister will attempt to hammer out a deal on steel import levies when he meets the US president at Turnberry, Mr Trump's Ayrshire golf course. Sir Keir and Scotland's First Minister John Swinney also plan to urge the US president to apply pressure on Israel to allow more humanitarian aid into Gaza, where the population is facing starvation. When the UK and US signed a trade deal in June, it reduced tariffs on car and aerospace imports to the US. But agreement on a similar arrangement for Britain's steel imports was not reached, leaving tariffs on steel at 25%. American concerns over steel products made elsewhere in the world, then finished in the UK, are said to be among the sticking points. Sir Keir is expected to spend most of the day with President Trump on Monday, when he will have a chance to press the president on a steel deal. But Business Secretary Mr Reynolds suggested it may take more than a meeting between the two leaders to resolve the matter, telling BBC Breakfast: 'We were very happy to announce the breakthrough that we had a few months ago in relation to sectors like automotive, aerospace, which are really important to the UK economy. 'But we always said it was job saved, but it wasn't job done. There's more to do. 'The negotiations have been going on on a daily basis since then. There's a few issues to push a little bit further today. 'We won't perhaps have anything to announce a resolution of those talks, but there's some sectors that we still need to resolve, particularly around steel and aluminium, and there's the wider conversation about what the US calls its reciprocal tariffs.' It comes after Mr Trump announced he had agreed 'the biggest deal ever made' between the US and the European Union after meeting Ursula von der Leyen for high-stakes talks at Turnberry on Sunday. After a day playing golf, the US leader met the president of the EU Commission to discuss the broad terms of an agreement that will subject the bloc to 15% tariffs on most of its goods entering America. This is lower than a 30% levy previously threatened by the US president. Sir Keir is also likely to use his time with Mr Trump to raise the starvation faced by the population of Gaza. The Prime Minister has condemned Israel for restricting the flow of aid into the territory, alongside the leaders of France and Germany. The UK will take part in efforts led by Jordan to airdrop aid into Gaza, Sir Keir said over the weekend. Elsewhere, he is facing pressure from more than 220 MPs to immediately recognise the state of Palestine, something which French president Emmanuel Macron has promised to do. The US is the country 'with the leverage' to make a difference in the conflict in Gaza, the Business Secretary suggested. Mr Reynolds told BBC Breakfast that Gaza would 'of course' be on the agenda for the meeting of the two leaders, adding: 'The intolerable scenes that we're seeing, the world is seeing, are the backdrop to that. 'And of course, the US has itself secured on two occasions ceasefires in the conflict, so they have been actively engaged in it, working with Egypt, the Qataris, and other key partners in the region.' Mr Swinney also promised to raise Gaza with Mr Trump, as it was 'causing deep unease and concern and heartbreak within Scotland'.
The Independent
6 minutes ago
- The Independent
Migrant workers struggle as Dubai's population skyrockets
Beneath the gleaming facade of Dubai's iconic skyscrapers and luxurious penthouses, a stark reality unfolds for migrant workers like Hesham. His apartment building, a world away from the emirate's opulence, is marked by flickering lights, broken doors, and exposed pipes. What was once a two-bedroom unit now houses ten men, with Hesham, a 44-year-old Egyptian salesman, occupying a modified closet just large enough for a mattress, for which he pays $270 a month. However, even this cramped space is now under threat. Hesham is among numerous low-paid foreign labourers caught in a widespread government crackdown on illegal subletting across Dubai. This includes rooms crammed with bunk beds offering minimal privacy for a few dollars a night, and partitioned apartments like Hesham's, where makeshift divisions of plywood, drywall, and plastic shower curtains transform flats into dormitories for up to 20 people. After a blaze at a high-rise in June, Dubai officials launched the campaign over concerns that partitioned apartments represent a major fire risk. Some of those evicted have been left scrambling to stay off the streets, where begging is illegal. Others fear they could be next, uncertain when or where inspectors might show up. 'Now we don't know what we'll do,' said Hesham, who's staying put until his landlord evicts him. Like others living in Dubai's cheapest and most crowded spaces, he spoke to The Associated Press on condition only his first name be used for fear of coming into the crosshairs of authorities enforcing the ban on illegal housing. 'We don't have any other choice," he said. Dubai Municipality, which oversees the city-state, declined an AP request for an interview. In a statement, it said authorities have conducted inspections across the emirate to curb fire and safety hazards — an effort it said would 'ensure the highest standards of public safety' and lead to 'enhanced quality of life' for tenants. It didn't address where those unable to afford legal housing would live in a city-state that's synonymous with luxury yet outlaws labor unions and guarantees no minimum wage. Dubai has seen a boom since the pandemic that shows no signs of stopping. Its population of 3.9 million is projected to grow to 5.8 million by 2040 as more people move into the commercial hub from abroad. Much of Dubai's real estate market caters to wealthy foreign professionals living there long-term. That leaves few affordable options for the majority of workers — migrants on temporary, low-wage contracts, often earning just several hundred dollars a month. Nearly a fifth of homes in Dubai were worth more than $1 million as of last year, property firm Knight Frank said. Developers are racing to build more high-end housing. That continued growth has meant rising rents across the board. Short-term rentals are expected to cost 18% more by the end of this year compared to 2024, according to online rental company Colife. Most migrant workers the AP spoke to said they make just $300 to $550 a month. In lower-income areas, they said, a partitioned apartment space generally rents for $220 to $270 a month, while a single bunk in an undivided room costs half as much. Both can cost less if shared, or more depending on size and location. At any rate, they are far cheaper than the average one-bedroom rental, which real estate firm Engel & Völkers said runs about $1,400 a month. The United Arab Emirates, like other Gulf Arab nations, relies on low-paid workers from Africa and Asia to build, clean, babysit and drive taxi cabs. Only Emirati nationals, who are outnumbered nearly 9 to 1 by residents from foreign countries, are eligible for an array of government benefits, including financial assistance for housing. Large employers, from construction firms and factories to hotels and resorts, are required by law to house workers if they are paid less than $400 a month, much of which they send home to families overseas. However, many migrants are employed informally, making their living arrangements hard to regulate, said Steffen Hertog, an expert on Gulf labor markets at the London School of Economics and Political Science. The crackdown will push up their housing costs, creating 'a lot of stress for people whose life situation is already precarious,' he said. Hassan, a 24-year-old security guard from Uganda, shares a bed in a partitioned apartment with a friend. So far, the government hasn't discovered it, but he has reason to be nervous, he said. 'They can tell you to leave without an option, without anywhere to go.' Dubai has targeted overcrowded apartments in the past amid a spate of high-rise fires fueled by flammable siding material. The latest round of inspections came after a blaze in June at a 67-story tower in the Dubai Marina neighborhood, where some apartments had been partitioned. More than 3,800 residents were forced to evacuate from the building, which had 532 occupied apartments, according to a police report. That means seven people on average lived in each of these units in the tower of one-, two- and three-bedroom flats. Dozens of homes were left uninhabitable. There were no major injuries in that fire. However, another in 2023 in Dubai's historic Deira neighborhood killed at least 16 people and injured another nine in a unit believed to have been partitioned. Ebony, a 28-year-old odd-job worker from Ghana, was recently forced to leave a partitioned apartment after the authorities found out about it. She lived in a narrow space with a roommate who slept above her on a jerry-built plywood loft bed. 'Sometimes to even stand up,' she said, 'your head is going to hit the plywood.' She's in a new apartment now, a single room that holds 14 others — and sometimes more than 20 as people come and go, sharing beds. With her income of about $400 a month, she said she didn't have another option, and she's afraid of being forced out again. 'I don't know what they want us to do. Maybe they don't want the majority of people that are here in Dubai,' Ebony said.
