Chart Industries Exit Comes With a $210 Takeout Clock and $6 Billion Backlog

Paradice Investment Management reported in a January 28 SEC filing that it sold out of Chart Industries (NYSE:GTLS), with an estimated transaction value of $11.77 million.

What happened

According to an SEC filing dated January 28, Paradice Investment Management sold all 58,813 shares of its Chart Industries (NYSE:GTLS), during the fourth quarter. As a result, the quarter-end value of the stake dropped by $11.77 million.

What else to know

Top holdings after the filing:

• NYSE:GMED: $46.10 million (9.0% of AUM)
• NASDAQ:TNDM: $45.67 million (8.9% of AUM)
• NYSE:NVST: $37.11 million (7.2% of AUM)
• NYSE:LEA: $36.86 million (7.2% of AUM)
• NYSE:FLS: $35.84 million (7.0% of AUM)

As of January 28, Chart Industries shares were priced at $207.27, relatively flat over the past year and underperforming the S&P 500 by 14.25 percentage points.

Company Overview

Company Snapshot

• Chart Industries manufactures engineered equipment for the energy and industrial gas sectors, including cryogenic tanks, heat exchangers, and specialty products for LNG, hydrogen, CO2 capture, and related applications.
• The company generates revenue primarily through the sale of specialized equipment and aftermarket services such as installation, maintenance, repair, and leasing solutions.
• It serves a global customer base spanning industrial gas producers, energy companies, utilities, and clients in specialty end-markets such as aerospace, food and beverage, and water treatment.

Chart Industries, Inc. is a leading provider of highly engineered cryogenic and heat transfer equipment. The company leverages deep technical expertise to deliver mission-critical solutions for LNG, hydrogen, and industrial gas infrastructure worldwide. Its diversified product portfolio and strong aftermarket service capabilities position it as a key supplier to energy transition and specialty process industries.

What this transaction means for investors

What matters here isn’t the trim itself, but timing around certainty. Once a deal becomes the primary driver of returns, upside compresses while risk quietly shifts to execution. That tradeoff appears front and center for investors reassessing Chart Industries after its agreed sale to Baker Hughes at $210 per share.

Operationally, Chart is still delivering. Third-quarter orders hit a record $1.68 billion, up nearly 44% year over year, pushing backlog to roughly $6.05 billion, led by strength in LNG, data centers, and specialty products. Adjusted operating margin reached a record 22.9%, while adjusted EPS rose 27.5% to $2.78, even as GAAP results absorbed deal-related charges tied to the terminated Flowserve merger and the pending Baker Hughes acquisition.

But with shares trading just below the $210 cash consideration and the transaction not expected to close until mid-2026, the stock’s risk profile now looks less like an operating turnaround and more like a merger-arb placeholder. For a portfolio emphasizing active capital recycling, reallocating into higher-conviction industrials or cleaner balance-sheet stories makes sense.

Jonathan Ponciano has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Chart Industries and Globus Medical. The Motley Fool recommends Flowserve. The Motley Fool has a disclosure policy.