NEW YORK, April 15, 2026 (GLOBE NEWSWIRE) -- Gainey McKenna & Egleston announces that a securities class action lawsuit has been filed in the United States District Court for the Southern District of Ohio on behalf of all persons or entities who purchased or otherwise acquired Babcock & Wilcox Enterprises, Inc. (“B&W” or the “Company”) (NYSE: BW) securities between November 5, 2025 and March 11, 2026, inclusive (the “Class Period”).
The Complaint alleges that Defendants failed to disclose to investors that: (i) B&W’s largest shareholder, BRC, stood on both sides of the Power Generation Contract and had close ties to B&W’s counterparty; (ii) Applied Digital did not need the products and services that B&W would purportedly supply pursuant to the Power Generation LNTP and Contract; (iii) the foregoing, at the very least, would raise questions about the parties’ actual intent behind entering into the Power Generation LNTP and Contract, including whether the Company is likely to recognize revenues from these agreements; (iv) accordingly, the business and financial prospects of the Company were overstated; and (v) as a result, Defendants’ public statements were materially false and misleading at all relevant times.
The Complaint alleges that the truth began to emerge on March 12, 2026, when Wolfpack Research (“Wolfpack”) published a short report alleging that B&W had failed to disclose the close relationship between its largest shareholder, BRC, and Base Electron, B&W’s counterparty to the Power Generation Contract: Base Electron’s directors included BRC Co-CEO and Chairman Riley, and Base Electron’s registered address matched that of BRC’s headquarters, not Applied Digital’s. The Complaint further states that moreover, Wolfpack alleged that Applied Digital did not need the products and services that B&W would purportedly provide pursuant to the Power Generation Contract, and that “the ultimate purpose of this deal may be to provide exit liquidity for [BRC]”. The Complaint continues to allege that taken together, the Wolfpack report’s contentions called into question whether B&W was likely to recognize revenues from the Power Generation Contract. The Complaint alleges that following publication of the Wolfpack report, B&W’s stock price fell $1.71 per share, or 11.59%, to close at $13.05 per share on March 12, 2026.
Investors who purchased or otherwise acquired shares of B&W should contact the Firm prior to the June 15, 2026 lead plaintiff motion deadline. A lead plaintiff is a representative party acting on behalf of other class members in directing the litigation. If you wish to discuss your rights or interests regarding this class action, please contact Thomas J. McKenna, Esq. or Gregory M. Egleston, Esq. of Gainey McKenna & Egleston at (212) 983-1300, or via e-mail at tjmckenna@gme-law.com or gegleston@gme-law.com.
Please visit our website at http://www.gme-law.com for more information about the firm.
