Babcock & Wilcox Enterprises, Inc. (“B&W” or the “Company”) (NYSE: BW) announced it has reached an agreement to sell its Italy-based SPIG S.p.A. (SPIG) group of companies and Sweden-based Babcock & Wilcox Vølund AB formerly known as Götaverken Miljö AB (GMAB) to funds managed by AUCTUS Capital Partners AG, a European private equity firm, for approximately $40 million, subject to customary adjustments and expenses. The deal is expected to close at the end of October and is subject to the satisfaction of customary closing conditions.
“This sale aligns with our previously-announced strategy to divest certain non-core businesses and assets to reduce our debt, improve our balance sheet and increase liquidity,” Kenneth Young, B&W Chairman and Chief Executive Officer, said. “Moving forward, we continue to see steadily increasing global demand for B&W’s core portfolio of technologies that support increased global energy demand from utilities and various industries.”
“We also are continuing to advance our core Thermal, Renewable and Environmental technologies globally. We also continue to invest in our new technologies, including BrightLoop™ and ClimateBright™, and are beginning execution of multiple commercial projects,” Young said. “In addition, we’re supporting U.S. customers with our proven, reliable technologies as demand for coal-to-natural-gas conversions grows in response to the increased need for emissions reductions while maintaining reliable baseload energy generation. We look forward to moving forward with these and other projects to deliver environmentally conscious, technology driven solutions that support the global need for reliable, accessible and affordable energy.”
