The offer follows a long-running period of speculation and represents a decrease from an initial proposal of 35p per share. Wood’s shares were suspended at 18.44p in early May after the company failed to post its 2024 annual results on time.

The deal is conditional upon Wood signing off its audited accounts by the end of October and maintaining the support of its lenders. The proposal also includes a plan for Sidara to inject $450 million (£334 million) into the business to provide stability and support future growth.

Talal Shair, chair and chief executive of Sidara, described the move as a “transformational moment”. He said: “Through this move, Wood becomes part of Sidara, creating a global, world-class, privately held engineering and design group. In the short term, our additional financial support will bring greater stability, but our vision is for Wood to take the lead in energy and materials.

“We have always admired what Wood has built - its talented people, global clients, and technical capabilities. This transaction allows us to strengthen client relationships, expand into new markets, and serve a broader range of global clients. We look forward to realising Wood’s full potential within Sidara.”

The board of Wood has unanimously recommended the offer. Chair Roy Franklin called it “the best option for all stakeholders” after a “very difficult few years”.

Wood CEO Ken Gilmartin added: “This announcement brings us closer to finalising a challenging chapter in Wood’s history. The acquisition by Sidara will solve our near-term liquidity challenges and strengthen the company in the longer term.

“In Sidara, we will have an owner that values our people, brand and the deep client relationships we have built over the years and together we will be in a stronger position to deliver for our clients and achieve our potential.