B&W sells Diamond Power to ANDRITZ for $177 million

Published 05/06/2025, 11:38
B&W sells Diamond Power to ANDRITZ for $177 million

AKRON, Ohio - Babcock & Wilcox Enterprises, Inc. (NYSE: BW), an energy and environmental products and services company, has entered into a definitive agreement to sell its Diamond Power International business to Austrian technology group ANDRITZ. The transaction, valued at $177 million subject to standard fees and adjustments, is expected to close within the next 30 days, transferring around 400 employees to ANDRITZ.

The sale comes at a time when Babcock & Wilcox (B&W) is experiencing robust growth, with the company reporting its highest bookings and backlog in decades, particularly from its parts and services business. This growth is driven by the increasing energy demands of data centers, industrial and utility markets, particularly in North America.

Kenneth Young, B&W’s Chairman and CEO, expressed that the divestiture of Diamond Power is a strategic move that will be transformative for the company, enhancing the value of its core assets. The sale is part of B&W’s broader strategy to capitalize on the rising global need for energy and environmental solutions.

Diamond Power specializes in boiler cleaning and monitoring solutions, catering to utilities and industries worldwide. Christopher Riker, B&W’s Executive Vice President and COO, acknowledged the contributions of Diamond Power’s employees and underscored the company’s commitment to a smooth transition and future collaboration with ANDRITZ.

Additionally, B&W is looking to expand its reach with new projects, including gas conversions, plant upgrades, and data center projects. The company also anticipates increased demand for its BrightLoop™ technologies, which are designed for steam generation and hydrogen production with CO2 capture capabilities, positioning B&W for growth in the energy sector.

The information in this article is based on a press release statement from Babcock & Wilcox Enterprises, Inc. The company cautions that the release contains forward-looking statements, which are subject to risks and uncertainties that could cause actual results to differ materially from expectations.

In other recent news, Babcock & Wilcox Enterprises reported a significant increase in Q1 2025 revenue, reaching $181.2 million, which surpassed analyst forecasts of $159.9 million. Despite the revenue growth, the company posted a larger-than-expected loss per share of $0.26, missing the forecasted loss of $0.14. The company’s backlog grew by 47%, indicating a strong demand for its technologies. Additionally, Babcock & Wilcox issued new senior secured notes as part of a strategy to manage its debt portfolio, exchanging existing notes for new ones due in 2030. Investment firm Galloway Capital Partners disclosed a 4.31% stake in Babcock & Wilcox, citing the company’s undervaluation and potential for future revenue growth. DA Davidson maintained a Neutral rating on the stock with a price target of $1.00, noting the company’s ongoing efforts to refinance and extend debt maturities. The firm also highlighted the potential impact of global trade discussions on Babcock & Wilcox’s operations. These developments reflect the company’s strategic focus on enhancing its financial position and capitalizing on growing market demand.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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