ABERDEEN, UK – Britain’s Competition and Markets Authority (CMA) has concluded that Wood Group’s planned takeover of Amec Foster Wheeler raises competition issues.
These concern the supply of engineering and construction and operation and maintenance services on the UK continental shelf.
Wood Group had anticipated this decision and had therefore proposed a solution with respect to the majority of Amec Foster Wheeler’s UK upstream oil and gas business serving UK customers (excluding its commissioning business, qedi).
The company will now formally submit its proposal and the CMA should make its final decision by Oct. 11.
Robin Watson, CEO of Wood Group, said: “We continue to believe that the proposed remedy will be sufficient to obtain clearance from the CMA. We remain fully committed to completing the transaction in quarter four this year.”
Jon Lewis, CEO of Amec Foster Wheeler, added that his company had “made good progress marketing its UK upstream oil and gas business to a range of potential buyers and is continuing the divestment process.”