Competition authorities have raised concerns over Aberdeen-based Wood Group’s (www.woodgroup.com) planned £2.2 billion takeover of energy services rival Amec Foster Wheeler, saying that it could reduce competition in the high-cost UK Continental Shelf.

The Competition and Markets Authority has instructed the firms to provide a proposed remedy or face an in-depth investigation.

Both companies have said that they still expect the planned merger to be complete in the fourth quarter of this year, creating a company with a combined value of around £5 billion.