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Surgery Partners, Inc. Announces Pricing Of $226.9 Million Public Offering Of Common Stock

BRENTWOOD, Tenn., Jan.

BRENTWOOD, Tenn., Jan. 28, 2021 (GLOBE NEWSWIRE) -- Surgery Partners, Inc. (Nasdaq: SGRY) ("Surgery Partners") today announced the pricing of its previously announced underwritten public offering of 7,500,000 shares of its common stock at a public offering price of $30.25 per share. Gross proceeds to Surgery Partners from the offering are expected to be approximately $226.9 million, before deducting underwriting discounts and commissions and other offering expenses payable by Surgery Partners. In addition, Surgery Partners has granted the underwriters a 30-day option to purchase up to an additional 1,125,000 shares of its common stock, at the public offering price less underwriting discounts and commissions. All of the shares in the offering are being sold by Surgery Partners. The offering is expected to close on or about February 1, 2021, subject to customary closing conditions.

J.P. Morgan Securities LLC and Jefferies LLC are acting as lead bookrunning managers, and Barclays Capital Inc., KKR Capital Markets LLC, and Macquarie Capital (USA) Inc. are acting as joint bookrunning managers for the public offering.

Surgery Partners intends to use its net proceeds from the public offering for general corporate purposes, which may include, but is not limited to, funding acquisitions, repaying indebtedness, capital expenditures and funding working capital.

An automatic shelf registration statement on Form S-3 relating to the public offering of the shares of common stock described above was filed with the Securities and Exchange Commission (the "SEC") on January 25, 2021 and automatically became effective under SEC rules. The offering is being made only by means of a written prospectus and prospectus supplement that form a part of the registration statement. A preliminary prospectus supplement and accompanying base prospectus relating to the offering was filed with the SEC and is available on the SEC's website at www.sec.gov. An electronic copy of the final prospectus supplement and accompanying base prospectus relating to the offering, when filed, will be available on the SEC's website at www.sec.gov and may also be obtained, when available, by contacting J.P. Morgan Securities LLC, c/o Broadridge Financial Solutions, Attn: Prospectus Department, 1155 Long Island Avenue, Edgewood, NY 11717, or telephone: 1-866-803-9204 or by email at  prospectus-eq_fi@jpmchase.com or Jefferies LLC, Attention: Equity Syndicate Prospectus Department, 520 Madison Avenue, 2nd Floor, New York, NY 10022, by telephone: (877) 821-7388, or by e-mail:  Prospectus_Department@Jefferies.com or Barclays, c/o Broadridge Financial Solutions, 1155 Long Island Avenue, Edgewood, New York 11717, email: barclaysprospectus@broadridge.com, tel: (888) 603-5847 or KKR at http://ir.kkr.com/ or by emailing kfn.ir@kkr.com or Macquarie Capital (USA) Inc., 125 West 55th Street, L-22, New York, NY 10019, Attention: Syndicate Department, telephone: 212-231-0440, or by emailing: MacquarieEquitySyndicateUSA@macquarie.com.

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 other jurisdiction in which such offer, solicitation or sale would be unlawful prior to the registration or qualification under the securities laws of any such state or other jurisdiction.

About Surgery Partners

Headquartered in Brentwood, Tennessee, Surgery Partners is a leading healthcare services company with a differentiated outpatient delivery model focused on providing high quality, cost effective solutions for surgical and related ancillary care in support of both patients and physicians. Founded in 2004, Surgery Partners is one of the largest and fastest growing surgical services businesses in the country, with more than 180 locations in 30 states, including ambulatory surgery centers, surgical hospitals, multi-specialty physician practices and urgent care facilities.

Forward-Looking Statements

This press release contains forward-looking statements, including but not limited to, statements relating to Surgery Partners' expectations regarding the completion, timing and size of the proposed public offering and the intended use of net proceeds therefrom. These statements can be identified by the use of words such as "believes," "anticipates," "expects," "intends," "plans," "continues," "estimates," "predicts," "projects," "forecasts," and similar expressions. All forward-looking statements are based on current expectations and beliefs as of the date of this release and are subject to risks, uncertainties and assumptions that could cause actual results to differ materially from those discussed in, or implied by, the forward-looking statements, including, but not limited to, risks and uncertainties related to the satisfaction of customary closing conditions related to the proposed public offering and the other risks identified in Item 1A under the heading "Risk Factors" in the Company's Annual Report on Form 10-K for the year ended December 31, 2019, filed on March 13, 2020, and the Company's Quarterly Reports on Form 10-Q for the quarters ended March 31, 2020, June 30, 2020 and September 30, 2020, filed on May 11, 2020, August 5, 2020 and November 11, 2020, respectively. Except as required by law, Surgery Partners does not undertake any obligation to revise or update publicly any forward-looking statements to reflect events or circumstances after the date of this report, or to reflect the occurrence of unanticipated events or circumstances.

Contact:

Surgery Partners Investor Relations(615) 234-8940IR@surgerypartners.com