AMEC Foster Wheeler last night insisted that its
£2.2 billion merger with rival Wood Group is not expected to be affected by an investigation into its business by the Serious Fraud Office (SFO), writes Scott Wright.
London-listed Amec revealed last night that the SFO has opened an investigation into the company, “predecessor companies and associated persons in respect of the Foster Wheeler business”. The company, which expects to complete its merger with Wood in the fourth quarter of this year, said the investigation “focuses on the past use of third parties and possible bribery and corruption and related offences.”
Amec, which noted that it continues to co-operate fully with and assist the SFO, added: “Given the stage of this matter, it is not possible to estimate reliably what effect the outcome of it may have on Amec Foster Wheeler. 
“However, the SFO’s investigation is not expected to have an impact on the completion of the merger of Amec Foster Wheeler and John Wood Group, which is expected to take place in the fourth quarter of this year.”
The Amec-Wood merger is expected to lead to around 1,200 job losses globally under plans to realise £165 million of synergies from the enlarged firm. Shareholders in both companies approved the deal last month.

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