Wood Group will sell its Well Support Division to GE Oil & Gas for $2.8bn.

The sale will include Wood Group’s electrical submersible pump, surface well equipment and logging services operations.

Following the disposal, $1.7bn (£1.1bn) of the $2.8bn cash deal will be returned to shareholders.

“Our shareholders will benefit from a significant return of cash,” said Wood Group chief executive Allister Langlands. “We plan to pursue our successful growth strategy of targeted geographic expansion and broadening of the service offering in our core engineering and operations and maintenance activities in the oil and gas and power markets.”

The sale, along with the recently announced acquisition of PSN, is in line with Wood Group’s strategy to focus on its core engineering, operations and maintenance activities.

The transaction is expected to be complete by the end of the second quarter of 2011.