Surgery Partners drops on pricing upsized $575 mln stock offering, placement

Surgery Partners

21/11/2022 15:15

** Surgery Partners Inc's  SGRY.O  shares down 9.7% at
$24.66 after follow-on prices
    ** Surgical facilities operator early Mon sells ~23.5 mln at
$24.50  urn:newsml:reuters.com:*:nGNX3RQkfK
    ** Offering size more than double the $275 mln targeted upon
launch early Mon, prices at 10.2% discount to stock's Fri close
    ** In addition, majority holder Bain Capital to purchase
$225 mln of shares in private placement
    ** SGRY to use combined proceeds from transactions to repay
long-term debt, remainder for general purposes
    ** Co has ~89.95 mln shares outstanding for $2.5 bln market
cap through Fri
    ** With move on Mon, shares down ~54% YTD vs Nasdaq's
 .IXIC  ~29% decline
    ** BofA, JPM, Barclays and Jefferies lead bookrunners for
equity offering
 (Lance Tupper is a Reuters market analyst. The views expressed
are his own)
 ((lance.tupper@thomsonreuters.com
lance.tupper@tr.com 1-332-219-1430))