LYNCHBURG, Va.--(BUSINESS WIRE)--BWX Technologies, Inc. (NYSE: BWXT) announced today it has completed the process to divest its United States-based commercial nuclear services business to Framatome. In a cashless transaction, BWXT will receive a 118,000-square-foot manufacturing facility and the associated 11 acres of land from Framatome.
“This strategic divestiture implies a sharper focus on our core government nuclear manufacturing and site operations businesses,” said Rex Geveden, BWXT’s president and chief executive officer. “Adding a premier nuclear-qualified manufacturing facility to our footprint also enables expansion into space and defense microreactors.”
Under the terms of the agreement, BWXT will transition certain contracts, equipment and intellectual property to Framatome. BWXT will assume occupancy and ownership of the Framatome facility located near one of BWXT’s Virginia manufacturing sites.
BWXT’s Canadian-based nuclear manufacturing and services business is not part of this transaction and will continue its work in North America and overseas.
North Inlet Advisors, LLC served as financial advisor to BWXT for this transaction.
Forward Looking Statements
BWXT cautions that this release contains forward-looking statements, including, without limitation, statements relating to the anticipated benefits of the divestiture of the U.S commercial nuclear services business and acquisition of the manufacturing facility and management’s plans, timing and expectations for the manufacturing facility. These forward-looking statements are based on management’s current expectations and involve a number of risks and uncertainties, including, among other things, our ability to obtain the necessary regulatory approvals, licenses and permits in a timely manner or at all. If one or more of these risks or other risks materialize, actual results may vary materially from those expressed. For a more complete discussion of other risk factors that impact the Company’s business, financial condition and results of operations, see BWXT’s filings with Securities and Exchange Commission, including our annual report on Form 10-K for the year ended December 31, 2019 and subsequent quarterly reports on Form 10-Q. BWXT cautions not to place undue reliance on these forward-looking statements, which speak only as of the date of this release, and undertakes no obligation to update or revise any forward-looking statement, except to the extent required by applicable law.
At BWX Technologies, Inc. (NYSE: BWXT), we are People Strong, Innovation Driven. Headquartered in Lynchburg, Va., BWXT provides safe and effective nuclear solutions for national security, clean energy, environmental remediation, nuclear medicine and space exploration. With approximately 6,600 employees, BWXT has 12 major operating sites in the U.S. and Canada. In addition, BWXT joint ventures provide management and operations at more than a dozen U.S. Department of Energy and NASA facilities. Follow us on Twitter at @BWXTech and learn more at www.bwxt.com.