Energy services giant Wood Group’s £2.2 billion (US$2.9 billion) takeover of Amec Foster Wheeler is now officially complete.
The merger was wrapped up after Amec agreed to sell the majority of its North Sea operations to address Competition Markets Authority (CMA) concerns.
The deal will see Amec bank £228 million (US$299.9 million) for selling upstream oil and gas operations to Australian firm WorleyParsons. Wood Group boss Robin Watson described the merger as “transformational”.
The Aberdeen-based company said it did not anticipate any job losses in the north east of Scotland as a result of the deal. In 2016, Amec’s North Sea business contributed revenues of £740 million (US$973.3 million) and a trading profit of £43 million (US$56.6 million).
Mr Watson said:, “This transformational acquisition creates a global leader in the delivery of project, engineering and technical services to energy and industrial markets.
“We expect to deliver significant cost synergies and incremental revenue synergies in a less cyclical business which retains a predominantly reimbursable, asset light model with a balanced risk appetite.”
Full Content: Financial Times
Want more news? Subscribe to CPI’s free daily newsletter for more headlines and updates on antitrust developments around the world.
Featured News
EU’s Incoming Competition Head Pushes for Policy Shift to Support ‘European Champions
Sep 19, 2024 by
CPI
Google Challenges $217 Million Legal Fee Demand in Privacy Case
Sep 19, 2024 by
CPI
EU Moves to Enforce Apple’s Compliance with New Market Rules
Sep 19, 2024 by
CPI
California Attorney General Bonta Stands Firm Against Albertsons-Kroger Merger
Sep 19, 2024 by
CPI
New FTC Report Highlights Privacy Risks in Social Media Data Use
Sep 19, 2024 by
CPI
Antitrust Mix by CPI
Antitrust Chronicle® – Canada & Mexico
Sep 3, 2024 by
CPI
Competitive Convergence: Mexico’s 30-Year Quest for Antitrust Parity with its Northern Neighbor
Sep 3, 2024 by
Francisco Javier Núñez Melgoza
Competition and Digital Markets in North America: A Comparative Study of Antitrust Investigations in Mexico and the United States
Sep 3, 2024 by
Julio Garcia
Recent Antitrust Development in Mexico: COFECE’s Preliminary Report on Amazon and Mercado Libre
Sep 3, 2024 by
Alejandra Palacios Prieto
The Cost of Making COFECE Disappear
Sep 3, 2024 by
Mateo Fernández