Babcock & Wilcox Enterprises Inc. says it is in danger of being delisted from the New York Stock Exchange because average share prices over the past 30 days have been below $1.
The financially struggling Barberton power industry company said Monday it intends to take steps to bring its 30-day average closing price above $1 per share.
B&W said the exchange notified the company on Nov. 27 that the average share price had fallen below listing criteria.
As of Nov. 29, the average closing price of B&W stock was 96 cents over a consecutive 30-day trading period, the company said in a prepared statement.
The company has six months from the date of notification to bring the 30-day average closing share price back above $1. The company could also get an extension beyond six months.
B&W stock will continue to be listed on the NYSE during the six-month period. Over the past 52 weeks, closing share prices have ranged from a low of 76 cents to a high of $7.66.
Shares on Monday closed at 90 cents, up 2 cents, or 2.2 percent.
“B&W plans to notify the NYSE that it intends to cure the deficiency, although there can be no assurance that the company will be able to bring its share price back above $1 or will remain in compliance with other NYSE continued listing standards,” the company said.
The NYSE notification does not affect the company’s business operations, debt payments or its regulatory reporting requirements, B&W said.
B&W has been losing money in part because of cost issues with European projects and and also because electric utilities are shifting from coal to cheap natural gas. The company recently replaced its chief executive officer and made other senior management changes.