Wood Group plc (Wood Group) is a service provider for energy industry. The company provides a wide range of energy services which include, production support, engineering, offshore pipelines, artificial lift using electric submersible pumps, enhancement of oil and gas production in mature fields, repair and overhaul of industrial gas turbines, operations and maintenance, engineering, procurement, and construction management services (EPCM). The company has its operations in 50 countries across the world. The company provides services to Oil & Gas, Power Generation, Pharmaceutical, Renewables and other industries. Wood Group carries out its operations in three reportable segments; Engineering & Production Facilities, Well Support and Gas Turbine Services. The company is headquartered at Aberdeen, the UK. In February 2011, the company sold off its Well Support division to GE for $2.8 billion (Wood Group, 2011). John Wood Group also overhauls and repairs industrial gas turbines for the oil and gas, power generation, and process industries through its Gas Turbine Services Division. In 2011 the company sold its Well Support unit to GE Oil & Gas for $2.8 billion.
Engineering & Production Facilities
The division deals with the establishment of the oil and gas fields for the engineering and production work: development preparation services for the ongoing operation of exploitation, production enhancement, maintenance management.
Gas Turbine Services
The gas turbine service includes the maintenance and repair of industrial gas turbines and related equipment, as well as accessories and spare parts service.
The well support businesses segment offers solutions, products, and services to enhance production rates and efficiency from oil fields and gas reservoirs and to control pressure at the well. This segment operates through three units: electric submersible pumps (ESP), pressure control, and logging services (Wood Group, 2011).
General Electric's recent purchase of Wood Group's well support division is another strategic move to strengthen the company's competitive clout in the energy sector. The deal is the firm's fourth acquisition of recent months, signaling a major shift in its corporate strategy: the desire to reduce its dependence on its financial arm and to reinforce its position in the global industrial market. In order to be more competitive in a sector with ferocious players, General Electric (GE) is strengthening its manufacturing operations and enlarging its energy product portfolio through strategic merger and acquisition (M&A) activity. For example, in 2010 the company acquired Dresser, a manufacturer of engines, pumps, and valves in the oil and gas industry, and Wellstream, a producer of flexible oil pipelines with a strong presence in Brazil, indicating that GE aims to lessen its predominant reliance on the sale of gas ...