Glancy Prongay & Murray LLP (“GPM”), a leading national shareholder rights law firm, announces that a class action lawsuit has been filed on behalf of investors who purchased or otherwise acquired Sotera Health Company (“Sotera” or the “Company”) (NASDAQ: SHC) common stock: (a) pursuant and/or traceable to the Company’s November 2020 initial public offering (“IPO”); (b) pursuant and/or traceable to the Company’s March 2021 secondary public offering (“SPO”); and/or (c) between November 20, 2020 and September 19, 2022, inclusive (the “Class Period”). Sotera investors have until March 27, 2023 to file a lead plaintiff motion.
If you suffered a loss on your Sotera investments or would like to inquire about potentially pursuing claims to recover your loss under the federal securities laws, you can submit your contact information at www.glancylaw.com/cases/Sotera-Health-Company/. You can also contact Charles H. Linehan, of GPM at 310-201-9150, Toll-Free at 888-773-9224, or via email at email@example.com to learn more about your rights.
On or about November 20, 2020, Sotera conducted its initial public offering (“IPO”), selling 53.59 million shares of common stock at $23 per share. On or about March 18, 2021, the Company conducted its secondary public offering (“SPO”), selling 25 million shares at $27 per share.
On September 19, 2022, a jury found Sotera liable for $363 million in damages, after determining that its sterilization services exposed communities surrounding its processing facilities to Ethylene Oxide (“EtO”) emissions and caused the plaintiff’s cancer. The jury cited the Company’s “willful and wanton” misconduct in not preventing toxic EtO emissions and failing to warn about the severe health hazard posed by its facilities. On this news, Sotera’s stock price fell $4.90, or 33.3%, to close at $9.83 per share on September 19, 2022, thereby injuring investors.
Then, on September 20, 2022, analysts at Goldman Sachs downgraded Sotera stock, noting a greater risk to Sotera in future EtO-related litigation due to facts that emerged in the trial and “possible bands of outcome being so open ended that it creates a material overhang on the stock for the foreseeable future.” On this news, Sotera’s stock price fell $1.63, or 16.6%, to close at $8.20 per share on September 20, 2022, thereby injuring investors further.
Then, on September 21, 2022, analysts at JP Morgan downgraded Sotera stock after finding that “investors are likely to price in this unprecedented ruling as a higher probability of a larger settlement or subsequent payouts of the 700+ remaining individual lawsuits, which [Sotera] could potentially not afford.” On this news, Sotera’s stock price fell $0.88, or 10.7%, to close at $7.32 per share on September 21, 2022 – 68.2% below the IPO price and 72.9% below the SPO price.
The complaint filed in this class action alleges that Defendants made materially false and/or misleading statements, as well as failed to disclose material adverse facts about the Company’s business, operations, and prospects. Specifically, Defendants failed to disclose to investors that for years the Company failed to employ adequate and effective emissions control systems at its sterilization facilities, allowing dangerous amounts of toxic EtO fumes to pollute the air surrounding those facilities and exposing communities to significantly increased cancer risks.
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If you purchased or otherwise acquired Sotera common stock during the Class Period, you may move the Court no later than March 27, 2023 to ask the Court to appoint you as lead plaintiff. To be a member of the Class you need not take any action at this time; you may retain counsel of your choice or take no action and remain an absent member of the Class. If you wish to learn more about this action, or if you have any questions concerning this announcement or your rights or interests with respect to these matters, please contact Charles Linehan, Esquire, of GPM, 1925 Century Park East, Suite 2100, Los Angeles California 90067 at 310-201-9150, Toll-Free at 888-773-9224, by email to firstname.lastname@example.org, or visit our website at www.glancylaw.com. If you inquire by email please include your mailing address, telephone number and number of shares purchased.
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Glancy Prongay & Murray LLP, Los Angeles
Charles H. Linehan, 310-201-9150 or 888-773-9224
1925 Century Park East, Suite 2100
Los Angeles, CA 90067