Engineering giant Wood rejects takeover offers

Wood is based in Aberdeen

One of Scotland's largest companies has rejected three takeover offers from a New York investment fund.

Wood, the energy engineering firm based in Aberdeen, is being valued by Apollo Global Management at £1.6bn.

The company has issued a statement which said its board had considered the three proposed bids from Apollo and rejected them.

Wood said that the offers from Apollo undervalued the company's future prospects.

Wood's share price has fallen in the past year.

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The stock market has this week been trading its shares at about two-thirds of the value placed on Wood by Apollo.

'Significantly undervalued'

Wood said in a statement: "The board notes the recent speculation and confirms that it has received three unsolicited, preliminary and conditional proposals from Apollo Global Management regarding a possible cash offer to acquire the entire issued and to be issued ordinary share capital of Wood.

"The most recent approach was received on 26 January.

"The board unanimously rejected each of the proposals, having concluded that they each significantly undervalued the repositioned group's prospects."

The US investment fund has until 22 March to say if it will make a formal offer.