The troubled engineering firm John Wood Group has received a new takeover proposal from Sidara, a Dubai-based network of engineering and design companies. The offer includes a non-binding conditional bid of 35p per share, which would value Wood Group at approximately £242 million. Additionally, the proposal entails a potential cash injection of $450 million (£342 million) into the company.

This new offer comes almost a year after a previous £1.56 billion takeover attempt by Sidara fell through. Since that time, Wood Group’s share value has significantly declined, particularly following reports of potential governance issues and the need for the company to restate its financial accounts.

In light of the recent developments, Wood Group’s management indicated they would likely recommend the latest takeover deal. The company has been exploring various refinancing options while simultaneously engaging in discussions with Sidara about the takeover.

In February, Wood Group confirmed that it had resumed takeover talks with Sidara, and discussions were extended last month. On Monday, the board of Wood stated that the company requires a more sustainable capital structure, which demands substantial new capital to diversify its financing sources and reduce debt over time.

The board noted that while they continue to evaluate alternative refinancing options, after consulting with financial advisers, they believe that the current offer represents a better opportunity for the company’s shareholders, creditors, and other stakeholders.