Select Water Solutions, Inc. priced a public offering of 13,725,491 shares of its Class A common stock at $12.75 per share, generating $175 million in gross proceeds. The offering was priced on February 19, 2026 under a shelf registration statement on Form S‑3 and is expected to close on February 23, 2026, with a 30‑day option for an additional 2,058,824 shares.
The proceeds will be used to fund water‑infrastructure growth projects, pursue potential acquisitions, and repay debt under the company’s sustainability‑linked credit facility. The capital raise supports the company’s strategy of shifting from cyclical services to high‑margin infrastructure assets, a move that is intended to accelerate expansion in the Permian Basin and other markets.
Select Water Solutions’ recent quarterly results provide context for the capital raise. In Q4 2025 the company reported an earnings per share of –$0.20 versus an estimate of $0.01, while revenue of $346.5 million beat the consensus estimate of $320.85 million. The mixed performance highlights the company’s ongoing investment in infrastructure and the need for additional capital to sustain growth.
Market reaction to the offering was negative, driven by the fact that the offering price was set below the prior day’s closing level. Investors expressed concern about dilution and the valuation implied by the pricing, which tempered enthusiasm for the company’s long‑term growth plans.
Management emphasized that the capital raise will strengthen the company’s water‑infrastructure pipeline, add acres under dedication, and support diversification into municipal, industrial, and lithium‑extraction projects. The company’s focus on sustainability and high‑margin assets is intended to improve long‑term profitability and reduce reliance on cyclical service revenue streams.
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