Sotera Health slips as PE sponsors reap $385 mln in share sale

Wells Fargo & Co

05/03/2026 14:36

Updates with pricing info

** Shares of sterilization solutions and lab testing firm Sotera Health SHC.O down 3% at $15.29 early Thurs after $385 mln secondary offering

** Broadview Heights, Ohio-based SHC late Weds said 25 mln shares to be sold by private equity firms Warburg Pincus and GTCR

** Offering priced at $15.40, thefly.com reports, which is 2.3% discount to stock's last close

** Prior to offering, Warburg owned ~34.1 mln shares for ~12% stake and GTCR owned ~22.7 mln shares for ~8% of SHC's ~284.4 mln shares outstanding, per the offering prospectus

** Wells Fargo sole underwriter for offering

** Through Weds, SHC shares had shed 10% since co on Feb 24 posted ~5% y/y rev growth in Q4 of $303.4 mln, above LSEG estimate of $299.5 mln, and forecast 2026 rev of $1.23-$1.25 bln

** With move on the session, shares off ~23% from their Jan 9 one-year intraday high of $19.85 but up roughly 30% over the past 12 months

** 9 of 11 analysts rate the stock "strong buy" or "buy", 2 "hold"; median PT $20, according to LSEG data

(Lance Tupper is a Reuters market analyst. The views expressed are his own)

((lance.tupper@tr.com 1-646-279-6380))