Wynnefield Capital Voices Support for Babcock & Wilcox's Rights Offering

NEW YORK, March 5, 2018 /PRNewswire/ -- Wynnefield Capital, a long-term holder of Babcock & Wilcox Enterprises (NYSE: BW), owning 950,000 shares or 2.0% of the Company, today announced its intention to fully subscribe to the Company's recently announced rights offering.

Nelson Obus, President of Wynnefield, said, "We believe that the rights offering is in the best interests of the Company and commend Vintage Capital for its efforts to protect shareholder interests by backstopping the offering, which will remove the second lien term loan holder."

Mr. Obus continued, "The second lien 'loan to own' lender is none other than AIP.  AIP has in the recent past broadcast with great conviction their total lack of concern for BW's outside equity shareholders, by forcing the Company to buy back their equity position in BW at an inflated price using funds that AIP just lent to the company."

Once completed, the rights offering is projected to save Babcock & Wilcox $20 million in interest expenses and empower the Company to divest certain non-core assets.

ABOUT WYNNEFIELD CAPITAL, INC.

Established in 1992, Wynnefield Capital, Inc. is a value investor specializing in U.S. small cap situations that have company or industry specific catalysts.

Contacts: 
Mark Semer or Daniel Yunger 
KEKST 
212-521-4800

SOURCE Wynnefield Capital