Stocks for both Community Health System and Tenet Healthcare took a fall on Monday only to bounce back Tuesday by 9.1 percent and 3.3 percent, respectively, according to a Reuters report.
On Monday, shares plunged by 36 percent in NYSE trading for CHS and 15 percent for Tenet, with stocks closing at $25.89 and $6.44, respectively. The decline followed Tenet’s lawsuit against CHS, alleging it inflated patient admissions and overbilled Medicare programs. CHS has since denied the charges.
On Tuesday, shares of Tenet closed at $6.56 — still more than CHS’ November offer of $6 a share. CHS, which has announced it is still prepared to buy Tenet, closed at $31.48.
Read the Reuters report on Tenet and Community Health Systems.
Read more about Tenet and CHS:
– Tenet Sues CHS: New Battle Lines in Healthcare Takeovers — Whistleblowing
– Tenet Lawsuit Against CHS Alleges Misuse of Observation Status
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