Wood seals deal to sell conveyor systems arm
Wood, the Aberdeen-headquartered energy and engineering services giant, is to offload its non-core conveyor systems business in a multi-million-dollar deal.
The group said it had agreed the sale of its Terra Nova Technologies operation to Cementation Americas, a business owned by Murray & Roberts Holdings. Cash proceeds in respect of the disposal amount to $38 million (£29m).
Wood said the sale was expected to close during the second quarter of the year.
Chief financial officer David Kemp said: “Terra Nova Technologies has a strong track record in delivering material handling equipment to our customers.
“Wood’s strategy going forward is to focus on asset light solutions rather than the manufacture/fabrication of equipment. The disposal makes a good contribution to our non-core asset disposal programme which is a key element of our deleveraging plan.”
Wood operates in more than 60 countries, employing around 60,000 people.