STERIS unveils new Birmingham headquarters, creating 100 new jobs

STERIS unveils new Birmingham headquarters, creating 100 new jobs
At the STERIS grand opening were, from left, Jefferson County Commissioner David Carrington, Birmingham City Council President Johnathan Austin, STERIS CEO Walt Rosebrough, and UAB President Ray Watts. (Michael Tomberlin/Alabama NewsCenter)

Ohio-based STERIS Corp. revealed its new $8 million global headquarters for its Specialty Services division in Birmingham’s Sloss Business District at a ceremony today.

The new division will be based in the former U.S. Pipe headquarters at 3316 Second Ave. North, which anchors a 15-acre campus owned by Birmingham’s Integrated Medical Systems, which STERIS acquired in 2014 for $165 million.

The new 75,000-square-foot headquarters will be home to 100 employees being moved from leased office space in Homewood and the bulk of 100 new jobs being created with the new global headquarters and consolidation of some other functions from other STERIS companies in other cities.

STERIS CEO Walt Rosebrough talks choosing Birmingham for its division headquarters from Alabama NewsCenter on Vimeo.

Walt Rosebrough, CEO of STERIS, said it was within a few days after STERIS announced the IMS acquisition that Birmingham Mayor William Bell and his economic development team reached out to make it known the Magic City wanted to play a part in the company’s future growth plans.

STERIS, traditionally a manufacturer, modifier and integrator of medical devices and equipment and a leading provider of infection prevention products for hospitals, was acquiring more companies in the services side of the business like the sterilization, testing and equipment repair that IMS built its business on.

As STERIS acquired more of these smaller companies, it began to need a place to consolidate and base a new division. The work of Alabama’s economic development team and the strength of IMS made Birmingham the obvious choice, Rosebrough said.

“A key element of our growth strategy of STERIS has been to expand into this new field of what we call specialty services businesses through a combination of organic growth and acquisitions,” Rosebrough said. “Service has always been a key strength for STERIS. We’ve had over 1,000 service people in the field for decades helping to work on the products that we make. So, we thought we could enter that business and take our strength in service in general to this specialty area of services.”

The renovated U.S. Pipe building is now home to the global headquarters of STERIS Corp.’s Specialty Services Division. (contributed)

Rosebrough said the company began acquiring service businesses in 2012 and has purchased as many as nine companies. The Specialty Services division now has 1,500 employees and accounts for $250 million in annual revenue.

Rosebrough said the STERIS $1.9 billion acquisition of Britain’s Synergy Health will open up international expansion opportunities for all of STERIS, including the Specialty Services division.

Birmingham Mayor William Bell was unable to attend the grand opening of the new headquarters but did issue a statement.

“This innovative global company recognizes the importance of our city as a health care hub,” Bell said. “That further strengthens the world-class companies and the research and development conducted here in Birmingham, while going a long way to attract even more.”

Rives Construction was general contractor on the renovation and KPS Group was architect.

Ray Watts, president of the University of Alabama at Birmingham and incoming 2016 Birmingham Business Alliance chairman, said he understands why STERIS would choose Birmingham.

“It really is no surprise,” he said. “Birmingham has a low cost of living and a high quality of life, which makes our region an extremely attractive option for a diverse mix of business and industry. Our workforce is motivated, educated and well-trained and is often what draws world-class industry, like STERIS, to our state and region.”

At its annual chairman’s luncheon on Tuesday, the BBA announced 2015 has seen thousands of jobs created and more than $1 billion in new capital investment.

Rosebrough said the company is now hiring the first 40 of the new positions created in Birmingham and plans are to have 100 new hires by 2018.

To see the transformation of the former U.S. Pipe building into the new STERIS division headquarters, watch the video below from STERIS.

Transformation of U.S. Pipe headquarters into STERIS Specialty Services headquarters from Alabama NewsCenter on Vimeo.

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