Wood Group (john) Share Discussion Threads

[dipa11] 30/3/2023 07:49

Today petrofac price movement will support the wood group price and takeover over bid price to be increased for sure

[wendsworth] 29/3/2023 15:04

hamhamham1:Irrespective of some negative posts, justifiably based upon acknowledged past woeful performance at the top , and particularly in the current financial climate, WG is a good share to be in. Rome wasn't built in a day. Takeovers take time. The company is without doubt in recovery mode. VERY CONTENT TO HOLD AND ACCUMULATE.

[hamhamham1] 29/3/2023 14:17

What the jump today?
Apollo back for another bite rumours?

[action] 29/3/2023 08:38

May be pfc and wood group should mutually merged to creat giant in industry. Just a thought.

[wendsworth] 28/3/2023 17:46

Despite past mistakes WG is most definitely a recovery stock. Have topped up my holding again at 194.1 this afternoon.

[forwood] 28/3/2023 17:19

$542mn of those losses are non-cash, chutes. IC notes: 'Adjusted cash profit of $388mn was slightly ahead of analyst forecasts, while Investec sees this climbing to $403mn this year and $449mn in 2024.' They say hold.

I say buy. Apollo will not be strapped for cash. Annual income was $10.9 bn in 2022. Its offer for Wood group is almost pocket change!

Yes, Wood group has failed its very long term investors but if it goes through at 2.37 it's not a bad premium on the pre bid price or even here (191.6).

[chutes01] 28/3/2023 16:13

local press tonight

Wood losses quadruple ...
We have failed our shareholders in recent years concedes energy giant
Nepotism, huge bonuses, share options, pension hand outs all but wiped out shareholders
Watson/Stewart bust the ship, back to 120p as Apollo walk here, huge debt after multiple unit sell offs, will this survive 2023 ?

They'll be teaching this at Harvard soon enough - How a £6 Bill energy behemoth was destroyed by abject incompetence.

[brucethegoldfish] 28/3/2023 16:09

So you are out now then chutes01? lol

[chutes01] 28/3/2023 14:52

Management must now crave a half decent offer to put them out their misery, a once great establishment ruined by attrocious business decisions
Was meant to be debt free after BE sale, huge liabilites remain, Dave Stewart and Robin Watson almost finished this off, a repeat of Carillion model.
Just abject incompetence here, no divi in near future as high interest payments on £350 mill deby pile
Low margins on secured contracts and little visibility on future wins.
Let's hope the Paris Coke/Hookers bash tab has been settled.
Apollo will walk now, back to 120p ?

[forwood] 28/3/2023 14:08

If the Board won't accept and Apollo won't raise, what happens then?

[gargoyle2] 28/3/2023 13:52

There's a confirmed bid, but it's probably subject to confirmatory DD, etc., so not worth much as it stands, without Board recommendation. And there would be no penalty as nothing's been agreed. The price is dropping not because the market thinks Apollo will walk away from 237. If anything, it's because the market thinks the Board won't accept 237 and Apollo won't raise. I'm still confident that something will get done.

[dipa11] 28/3/2023 13:20

Walk away will be difficult for them as braking deal will they have to pay penalty.If they increasing the share price and company rejected then they can walk away. Will come to know by the 19th April 23.If they are serious then they will increase share price. 3 weeks and result will come to know

[sundance13] 28/3/2023 11:40

Makes no sense to me, given confirmed bid at 237p, falling price if anything just puts more pressure on Board to do a deal. Not sure why bidder would suddenly decide to walk away unless we did see a repeat of the financial crisis of 2008? Nothing much in results to change anything.

[chutes01] 28/3/2023 10:49

Rotten to the core
I expect A to walk now

[forwood] 28/3/2023 10:46

Thanks Gargoyle. I just wondered why there was quite a drop in the share price shortly after the presentation started. Strange that people might want to sell out if the results increase the likelihood of the bid going through or even being increased

[gargoyle2] 28/3/2023 10:39

The results were in line, I think. In any event, I'm not sure a bidder wll be too concerned with what historic results look like. They are looking to the next 3-5 years (or longer).

[forwood] 28/3/2023 10:12

After those results, is there not a danger that the bidder will withdraw?

Did Wood management agree an extension to the results because they thought they'd extract a better bid or because they wanted the bidder to walk away?

[husbod] 28/3/2023 09:49

They haven't rejected 237p out of hand.They're still engaged but "on a limited basis" whatever that might mean.A cynic might think they're seeking a better deal for management but I'm sure that can't be the case:-Anyway we won't have to wait too much longer to know either way.

[hamhamham1] 28/3/2023 09:31

The company is in a healthy position now, and the balance sheet is very manageable, they wrote down stuff and pitched other deails in a way to influence shareholders to relook at the offer on the table IMO, albeit in an extension.
I am 100% convinced this will be sold now, but if not, cool, the company will do very well on the future.
I mean, there is a reason why the bidder wants to buy at 237p, ie coz they know its undervalued at that price, but hey, thems the breaks.
Happy to hold for either outcome.
I still feel a token 5-10p may be added to any final strike price, just to warrant the mgmts decision to reject 237p out of hand. Else it makes them look a tad stupid.

[kibes] 28/3/2023 09:19

I thought after the sale of Built Environment Consulting they would be almost debt free? But no, net debt is £736 million (£393 million excluding leases)and they say it is going to be higher in 2023.

[husbod] 28/3/2023 08:27

That little section is probably key as to whether the bid price is increased.Not exactly going to set the share price on fire but at least mildly encouraging.Let's see what happens but again the market response so far is to sit on the fence in a slightly if definite negative fashion.

[hamhamham1] 28/3/2023 08:22

Ta-Dah!

That's the underlying message in today's RNS, ie be thankful someone has made an offer, and it may be prudent to take it, all on my opinion.

But hey, it could be an easy 20% from here, if it happens.

[dipa11] 28/3/2023 08:12

"Our strategy is already delivering. We started 2023 with good momentum - our order book for delivery in 2023 is up 10%, headcount is up 8% and financial guidance for 2023 in line with our medium-term financial targets of adjusted EBITDA growth at mid to high single digit CAGR, with momentum building as our strategy delivers."