BWXT Announces Strategic Acquisition of Sotera Health’s Nordion Medical Isotope Business

LYNCHBURG, Va.–(BUSINESS WIRE)–BWX Technologies, Inc. (NYSE:BWXT) (“BWXT” or the “Company”) announced
today that it has signed a definitive agreement to acquire Sotera
Health’s Nordion medical isotope business.

The acquisition accelerates and de-risks BWXT’s entry into the medical
radioisotope market by adding licensed infrastructure, approximately 150
highly trained and experienced personnel, and two production centers to
BWXT.

“Today’s announcement demonstrates our ability to leverage BWXT’s
traditional and unique competencies in radiochemical processing to
expand into an exciting market with high growth potential,” said Rex D.
Geveden, BWXT’s President and Chief Executive Officer. “BWXT has
previously announced plans to enter the medical radioisotope market with
a new, innovative technology, and this acquisition is a foundational
step in that direction. We look forward to completing the acquisition
process and welcoming the employees of Nordion to the BWXT team.”

Subject to required Canadian and U.S. regulatory reviews and approvals,
the acquisition of Sotera Health’s Nordion medical radioisotope business
is expected to close by the end of 2018.

Nordion’s medical radioisotopes business is a leading global
manufacturer and supplier of critical medical isotopes and
radiopharmaceuticals for research, diagnostic and therapeutic uses. Its
customers include radiopharmaceutical companies, hospitals and
radiopharmacies. Its primary operations are located in Kanata, Ontario
and Vancouver, British Columbia.

Nordion’s medical isotope and contract manufacturing operations included
in this acquisition will continue to operate to the high level of
service their customers have come to expect with no disruption to
current operations.

In conjunction with the closing of the Nordion medical isotope
acquisition, BWXT expects to reduce capital expenditures by
approximately $100 million, before acquisition costs. The Company now
expects capital expenditures of approximately $150 million in 2018.

Forward Looking Statements

BWXT cautions that this release contains forward-looking statements,
including, without limitation, statements relating to the anticipated
benefits of our proposed acquisition of Nordion’s medical isotope
business; management’s plans and expectations for the new medical
isotope production technology; timing of future revenues from the
acquisition of Nordion’s medical isotope business and the new medical
isotope business; and anticipated reduction of capital expenditures. These
forward-looking statements are based on management’s current
expectations and involve a number of risks and uncertainties, including,
among other things, the ability to consummate the proposed transaction;
our ability to obtain the necessary regulatory approvals, licenses and
permits in a timely manner or at all; and existing and potential future
competition in an environment of rapid technological change. 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, 2017 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.

About BWXT

Headquartered in Lynchburg, Va., BWX Technologies, Inc. (NYSE:BWXT)
is a leading supplier of nuclear components and fuel to the U.S.
government; provides technical and management services to support the
U.S. government in the operation of complex facilities and environmental
remediation activities; and supplies precision manufactured components,
services and fuel for the commercial nuclear power industry. With
approximately 6,100 employees, BWXT has nine 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 @BWXTech and learn more at www.bwxt.com.

Contacts

BWX Technologies, Inc.
Media Contacts:
United
States
Jud Simmons, 434-522-6462
Director, Media & Public
Relations
[email protected]
or
Canada
Natalie
Cutler, 519-620-5288
Communications Manager
[email protected]
or
Investor
Contact:
Alan Nethery, 980-365-4300
Vice President and
Chief Investor Relations Officer
[email protected]