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Wayne Smith Says CHS Will Succeed at Tenet Takeover

Community Health Systems' Chairman and CEO Wayne Smith told attendees at a UBS healthcare conference that CHS "absolutely will be successful" in its plans to takeover Tenet, according to a Wall Street Journal report.

Mr. Smith said CHS was "in for the long haul," adding "patience is virtue," according to the report.

CHS offered a $3.3 billion equity bid to acquire Tenet in December, which Tenet rejected. CHS vowed to continue with a hostile takeover of the hospital operator. Tenet responded by adopting a "poison pill" provision and delaying it annual meeting to make a takeover more difficult. Under the poison pill provision, if any person or firm buys more than 4.9 percent of Tenet's shares without its board's approval, the poison pill anti-takeover device allows all other shareholders who own less than that percentage of shares the right to buy additional shares at a bargain price.

Read the WSJ report on Community Health Systems.

Read more coverage on Community Health Systems:

- Tenet Shareholders Sue Over Spurned CHS Offer

CHS Plans to Nominate Full Slate of 10 Directors to Tenet Board

CHS Urges Tenet to Engage in Merger Discussions After "Poison Pill" Measure

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