Tenet Healthcare's board of directors has unanimously rejected Community Health System's final offer of $7.25 per share, according to a Tenet news release.
Trevor Fetter, president and CEO of Tenet, said Tenet is not willing to enter into discussions with CHS based on "many factors, including a grossly inadequate offer," according to the release.
In a letter to CHS President and CEO Wayne Smith, Mr. Fetter wrote that the Tenet Board has "serious concerns about Community Health's ability to consummate the proposed transaction," according to the release. There were no explicit mentions of Tenet's lawsuit against CHS, accusing the system of systematic overbilling.
CHS had stated this would be its best and final offer for Tenet, concluding a pursuit that began in December with CHS' offer of $6 per share.
Tenet also announced that its board of directors has authorized the repurchase of up to $400 million of common stock.
Read the release on Tenet's rejection of CHS' final bid (pdf).
Related Articles on CHS and Tenet:
Timeline: Community Health's Pursuit for Tenet
Tenet Sues CHS: New Battle Lines in Healthcare Takeovers — Whistleblowing
CHS Makes "Best and Final Offer" For Tenet at $7.25 Per Share
Trevor Fetter, president and CEO of Tenet, said Tenet is not willing to enter into discussions with CHS based on "many factors, including a grossly inadequate offer," according to the release.
In a letter to CHS President and CEO Wayne Smith, Mr. Fetter wrote that the Tenet Board has "serious concerns about Community Health's ability to consummate the proposed transaction," according to the release. There were no explicit mentions of Tenet's lawsuit against CHS, accusing the system of systematic overbilling.
CHS had stated this would be its best and final offer for Tenet, concluding a pursuit that began in December with CHS' offer of $6 per share.
Tenet also announced that its board of directors has authorized the repurchase of up to $400 million of common stock.
Read the release on Tenet's rejection of CHS' final bid (pdf).
Related Articles on CHS and Tenet:
Timeline: Community Health's Pursuit for Tenet
Tenet Sues CHS: New Battle Lines in Healthcare Takeovers — Whistleblowing
CHS Makes "Best and Final Offer" For Tenet at $7.25 Per Share