Terms

Series

7.75% Series A Cumulative Perpetual Preferred Stock

Liquidation Preference

$25.00

Coupon Rate

7.75%

Rate Type

Fixed

Annual Dividend

$1.94

Payment Frequency

Quarterly

Cumulative

Yes

Perpetual

Yes

Convertible

Yes

Callable

Yes

First Call Date

May 7, 2026

First Call Price

$25.00

Capital Stack Ranking

Junior To: All Existing And Future Indebtedness (Including Subordinated Indebtedness), Any Future Senior Capital Stock, Indebtedness And Liabilities Of Subsidiaries (Structural Subordination); Pari Passu With: Any Future Capital Stock Expressly Designated As Ranking On Parity (None Currently Outstanding); Senior To: Common Stock, All Capital Stock Expressly Designated As Junior To Series A Preferred Stock

Regulatory (Basel III) Call

No

Tax Classification

Qualified Dividend

Qualifies for QDI

Yes

Prospectus Summary

Babcock & Wilcox Enterprises, Inc. (NYSE: BW PRA) is offering up to $76 million of its 7.75% Series A Cumulative Perpetual Preferred Stock via an at-the-market facility through B. Riley Securities. Each share carries a $25.00 liquidation preference and pays a fixed annual dividend of $1.9375 ($0.484375 per quarter), payable on March 31, June 30, September 30, and December 31. The stock is cumulative, meaning any unpaid dividends accrue and must be satisfied in full before distributions can be made to holders of junior securities. The Series A is perpetual with no maturity date and is callable at $25.00 per share beginning May 7, 2026. The Series A Preferred Stock ranks senior to B&W's common stock and all expressly junior capital stock, but is subordinated to all existing and future indebtedness of the holding company — including its 8.125% senior notes due 2026 and any credit facility borrowings. There is also structural subordination: as a holding company issue, it is junior to the debt and other liabilities of B&W's operating subsidiaries. No parity or senior preferred stock currently exists. There is no regulatory capital call provision. Upon a Delisting Event or Change of Control, holders may convert into common stock (subject to a Share Cap), or the Company may elect to redeem at $25.00 plus accrued dividends. At the $25.00 liquidation preference, the Series A yields 7.75% annually. Dividends are paid quarterly on the last day of each calendar quarter, with record dates set 10–30 days prior to each payment date. The tax treatment is not specified in the provided prospectus text; investors should consult the full tax section and their advisors regarding QDI or DRD eligibility. The dividend stopper provision prevents B&W from paying dividends or repurchasing common or parity stock if any accumulated Series A dividends remain unpaid for prior periods — though the board retains discretion to withhold dividend declarations entirely, and numerous exceptions limit the practical reach of this restriction.

Summarized from the SEC prospectus filing.

Distribution History

Conversion Terms

Ranking vs. Other Preferreds

Dividend Stopper Provisions

Dividend Stopper Description

If full cumulative dividends on the Series A Preferred Stock have not been paid for all past completed dividend periods, the Company is prohibited from paying dividends on or repurchasing common stock or any junior or parity capital stock (with certain exceptions), until all accumulated and unpaid dividends on the Series A Preferred Stock are paid or set aside.

Other Preferreds from Babcock & Wilcox Enterprises Inc

Div Score Breakdown

Reinvesty's multi-factor safety analysis for this preferred, composite score: 48 (Average)