Published on 5/5/2021 in the Prospect News Investment Grade Daily and Prospect News Preferred Stock Daily.
New Issue: Babcock & Wilcox sells $100 million 7.75% perpetual preferreds at par
By Rebecca Melvin
Concord, N.H., May 5 – Babcock & Wilcox Enterprises Inc. priced $100 million of series A cumulative perpetual preferred stock with a liquidation preference of $25.00 per share, according to a FWP filed with the Securities and Exchange Commission.
There is an option for the issuance of up to $15 million additional shares.
The preferred shares may be redeemed at par plus accrued dividends after May 7, 2026.
B. Riley Securities, Inc., D.A. Davidson & Co., Janney Montgomery Scott LLC, Ladenburg Thalmann & Co. Inc., National Securities Corp. and William Blair & Co. are acting as joint bookrunning managers.
Kingswood Capital Markets, a division of Benchmark Investments, Inc., is acting as lead manager.
Proceeds will be used for general corporate purposes, including clean energy growth initiatives, potential future acquisitions and reduction of net leverage.
Akron, Ohio-based Babcock provides support services to military and civilian customers.
| Issuer: | Babcock & Wilcox Enterprises, Inc.
|
| Issue: | Series A cumulative perpetual preferred stock
|
| Amount: | $100 million, or 4 million shares
|
| Greenshoe: | $15 million, or 600,000 shares
|
| Maturity: | Perpetual
|
| Bookrunners: | B. Riley Securities, Inc., D.A. Davidson & Co., Janney Montgomery Scott LLC, Ladenburg Thalmann & Co. Inc., National Securities Corp. and William Blair & Co.
|
| Lead manager: | Kingswood Capital Markets, division of Benchmark Investments, Inc.
|
| Co-managers: | Aegis Capital Corp., Boenning & Scattergood, Inc., Huntington Securities, Inc., Incapital LLC and Wedbush Securities Inc.
|
| Dividend: | 7.75%
|
| Price: | Par of $25.00
|
| Yield: | 7.75%
|
| Call option: | At par plus accrued dividends after May 7, 2026
|
| Pricing date: | May 5
|
| Settlement date: | May 7
|
| Listing: | NYSE: BWPrA
|
|
|
© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere.
For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.
