Sotera Health Announces Pricing of Secondary Offering

Rhea-AI Summary

Sotera Health Company (Nasdaq: SHC) announced the pricing of its secondary offering of 25,000,000 shares at $27.00 per share, with selling stockholders, including affiliates of Warburg Pincus LLC and GTCR, LLC. The offering will not raise funds for the company, which will not receive any proceeds. A 30-day option for underwriters to purchase an additional 3,750,000 shares is included. The offering closes on March 22, 2021, subject to conditions. Key underwriters include J.P. Morgan, Credit Suisse, and Goldman Sachs.

Positive

• The secondary offering is priced at $27.00 per share, which may indicate strong market interest.
• Participation of reputable investors like Warburg Pincus LLC and GTCR, LLC enhances credibility.

Negative

• The company will not receive any proceeds from the offering, limiting potential financial benefits.
• The offering may lead to shareholder dilution as additional shares are sold by existing stockholders.

CLEVELAND, March 17, 2021 (GLOBE NEWSWIRE) -- Sotera Health Company (Nasdaq: SHC) (the “Company”) today announced the pricing of its secondary offering (the “Offering”) of 25,000,000 shares of its common stock at a price to the public of $27.00 per share. All 25,000,000 shares are being offered by selling stockholders, which include certain affiliates of Warburg Pincus LLC and GTCR, LLC, as well as certain current and former members of management of the Company. In addition, the selling stockholders have granted the underwriters a 30-day option to purchase up to an additional 3,750,000 shares of common stock. The Company is not offering any shares in the Offering and will not receive any of the proceeds from the Offering. The Company has agreed to pay certain Offering expenses consistent with its obligations under its Amended and Restated Registration Rights Agreement.

The Offering is expected to close on March 22, 2021, subject to customary closing conditions.

J.P. Morgan, Credit Suisse, Goldman Sachs & Co. LLC and Jefferies are acting as joint lead book-running managers and as representatives of the underwriters for the Offering. Barclays, Citigroup and RBC Capital Markets are acting as joint book-running managers for the Offering. BNP PARIBAS, KeyBanc Capital Markets, Citizens Capital Markets, ING, Academy Securities, Loop Capital Markets, Penserra Securities LLC, Siebert Williams Shank and Tigress Financial Partners are acting as co-managers for the Offering.

The Offering is being made only by means of a prospectus. Copies of the final prospectus relating to the Offering may be obtained, when available, from: J.P. Morgan Securities, LLC, Attention: Broadridge Financial Solutions, 1155 Long Island Avenue, Edgewood, NY 11717, by telephone at 1-866-803-9204 or by email at prospectus-eq_fi@jpmchase.com; Credit Suisse Securities (USA), LLC, Attention: Prospectus Department, 6933 Louis Stephens Drive, Morrisville, NC 27560, by telephone at (800) 221-1037, or by email at usa.prospectus@credit-suisse.com; Goldman Sachs & Co. LLC, Attention: Prospectus Department, 200 West Street, New York, NY 10282, by telephone 1-866- 471-2526 or by email at Prospectus-ny@ny.email.gs.com; or Jefferies LLC, Attention: Equity Syndicate Prospectus Department, 520 Madison Avenue, 2nd Floor, New York, NY 10022, by telephone 1-877-821-7388 or by email at Prospectus_Department@Jefferies.com.

A registration statement relating to these securities was declared effective as of March 17, 2021 by the Securities and Exchange Commission (the “SEC”).

This press release shall not constitute an offer to sell, or the solicitation of an offer to buy these securities, nor shall there be any sale of, these securities in any state or jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction.

Forward-looking Statements:

Statements in this press release regarding the Company that are not historical facts are “forward-looking statements” that involve risks and uncertainties. Certain of these risks and uncertainties are described in the Company’s registration statement on Form S-1 filed with the SEC, including under the headings of “Risk Factors” and “Cautionary Note Regarding Forward-Looking Statements” in the registration statement and under the headings of “Risk Factors” and “Cautionary Note Regarding Forward-Looking Statements” in the Company’s most recent Annual Report on Form 10-K. Forward-looking statements made in this release speak only as of the date of this release, and the Company undertakes no obligation to update the information contained in this press release to reflect subsequently occurring events or circumstances, except as required by law.

About Sotera Health:

Sotera Health Company is a leading global provider of mission-critical end-to-end sterilization solutions and lab testing and advisory services for the healthcare industry. Sotera Health goes to market through three businesses – Sterigenics®, Nordion® and Nelson Labs®. Sotera Health is committed to its mission, Safeguarding Global Health®.

INVESTOR RELATIONS CONTACTS:

Sally J. Curley, IRC	Jenny Kobin
Curley Global IR, LLC	IR Advisory Solutions
IR@soterahealth.com	IR@soterahealth.com
MEDIA CONTACT:
Kristin Gibbs
Chief Marketing Officer, Sotera Health
kgibbs@soterahealth.com

Source: Sotera Health Company 

FAQ

What is the stock price for the SHC offering?

The secondary offering of Sotera Health Company (SHC) is priced at $27.00 per share.

When is the SHC offering expected to close?

The offering is expected to close on March 22, 2021, subject to customary closing conditions.

Who are the underwriters for the SHC offering?

J.P. Morgan, Credit Suisse, Goldman Sachs & Co. LLC, and Jefferies are the main underwriters for the offering.

Will Sotera Health receive any funds from the secondary offering?

No, Sotera Health Company will not receive any proceeds from the secondary offering.

What are the implications of the SHC share offering?

The offering could lead to shareholder dilution as selling stockholders are offering their shares.