Chart Industries, Inc. (GTLS - Free Report) announced that yesterday it priced public offerings of 3.5 million common shares. This move along with other financing actions will help the company to fund the acquisition of the Industrial Air-X-Changers business of Harsco Corporation .
It is worth mentioning here that Chart Industries’ shares inched up 0.5% yesterday, ending the trading session at $74.94.
Inside the Headline
As noted, the company will issue the aforementioned number of its common shares for $73.50 per share to the public in an underwritten registered offering. To add, the underwriters will have the exclusive rights, valid for 30 days, to buy additional 525,000 common shares of Chart Industries.
The company will close the public offering on Jun 14, 2019. It anticipates raising roughly $248.8 million (net of commissions and discounts to underwriters as well as offering-related expenses) from the share issuance. This amount might escalate to $286.3 million if underwriters exercise their exclusive purchasing rights.
The company will use net proceeds from the share offering for funding buyout deal signed with Harsco for deleveraging and paying certain fees and expenses.
Before we proceed further, we believe that a brief snapshot on the buyout deal with Harsco will be useful here. In May 2019, Chart Industries announced that it will purchase Harsco’s Industrial Air-X-Changers business, which will help in strengthening its businesses in the industrial energy and gas market. The deal value was set at $592 million in cash. The buyout is anticipated to generate cost synergies of roughly $20 million in the initial year of the completion.
Zacks Rank & Other Key Picks
With a market capitalization of $2.4 billion, Chart Industries currently sports a Zacks Rank #1 (Strong Buy). In the past 30 days, the Zacks Consensus Estimate for its earnings has increased 2.4% to $3.02 for 2019 and 8.1% to $4.95 for 2020.
Chart Industries, Inc. Price and Consensus
Zacks Names "Single Best Pick to Double"
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
It’s a little-known chemical company that’s up 65% over last year, yet still dirt cheap. With unrelenting demand, soaring 2022 earnings estimates, and $1.5 billion for repurchasing shares, retail investors could jump in at any time.
This company could rival or surpass other recent Zacks’ Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year.
Free: See Our Top Stock and 4 Runners Up >>
Chart Industries, Inc. (GTLS - Free Report) announced that yesterday it priced public offerings of 3.5 million common shares. This move along with other financing actions will help the company to fund the acquisition of the Industrial Air-X-Changers business of Harsco Corporation .
It is worth mentioning here that Chart Industries’ shares inched up 0.5% yesterday, ending the trading session at $74.94.
Inside the Headline
As noted, the company will issue the aforementioned number of its common shares for $73.50 per share to the public in an underwritten registered offering. To add, the underwriters will have the exclusive rights, valid for 30 days, to buy additional 525,000 common shares of Chart Industries.
The company will close the public offering on Jun 14, 2019. It anticipates raising roughly $248.8 million (net of commissions and discounts to underwriters as well as offering-related expenses) from the share issuance. This amount might escalate to $286.3 million if underwriters exercise their exclusive purchasing rights.
The company will use net proceeds from the share offering for funding buyout deal signed with Harsco for deleveraging and paying certain fees and expenses.
Before we proceed further, we believe that a brief snapshot on the buyout deal with Harsco will be useful here. In May 2019, Chart Industries announced that it will purchase Harsco’s Industrial Air-X-Changers business, which will help in strengthening its businesses in the industrial energy and gas market. The deal value was set at $592 million in cash. The buyout is anticipated to generate cost synergies of roughly $20 million in the initial year of the completion.
Zacks Rank & Other Key Picks
With a market capitalization of $2.4 billion, Chart Industries currently sports a Zacks Rank #1 (Strong Buy). In the past 30 days, the Zacks Consensus Estimate for its earnings has increased 2.4% to $3.02 for 2019 and 8.1% to $4.95 for 2020.
Chart Industries, Inc. Price and Consensus
Zacks Names "Single Best Pick to Double"
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
It’s a little-known chemical company that’s up 65% over last year, yet still dirt cheap. With unrelenting demand, soaring 2022 earnings estimates, and $1.5 billion for repurchasing shares, retail investors could jump in at any time.
This company could rival or surpass other recent Zacks’ Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year.
Free: See Our Top Stock and 4 Runners Up >>
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