Tenet Says Community Health’s Hostile Bid Falls Short Of Company’s Value; Caritas Has National Aspirations
News outlets details the ongoing back-and-forth as Community Health Systems continues its pursuit of rival hospital group Tenet Healthcare Corp. Meanwhile, The Boston Globe details what may be in store for Caritas' hospital system.
The Wall Street Journal: Tenet Girds Against Community Health Systems
Tenet Healthcare Corp. made a new case Tuesday for why a bid from Community Health Systems Inc. falls short of its value, arguing that improving patient volume trends, benefits from the health care overhaul law and existing strategic initiatives will generate strong growth (Mathews, 1/12).
Reuters: Community Health CEO Vows To Buy Tenet
The chief executive of Community Health Systems Inc said he was determined to buy rival hospital operator Tenet Healthcare Inc, but was not inclined to raise the $3.3 billion offer. In an interview after his presentation at the annual JP Morgan Healthcare Conference, Community Health CEO Wayne Smith said he believes the current unsolicited cash-and-stock offer of $6 per share is more than fair (Sherman, 1/11).
Bloomberg: Community Health CEO Will Push Forward With Pursuit of Hostile Tenet Bid
Community Health, the biggest U.S. publicly traded hospital operator, announced its unsolicited $6-a-share offer on Dec. 9. Later that month, the Franklin, Tennessee-based company said it would nominate an unspecified number of directors to Tenet's board after Dallas-based Tenet rejected the bid as inadequate (Olmos, 1/11).
Bloomberg: Tenet Says 'Premature' To Say If Company Is for Sale
Tenet Healthcare Corp.'s chief executive officer said it's premature to say whether the hospital chain is willing to be sold in the wake of a $3.3 billion buyout bid from Community Health Systems Inc. Asked if Dallas-based Tenet would repurchase shares or add a dividend to increase the company's value, CEO Trevor Fetter said he was considering a number of alternatives. He declined to give details today on a conference call with analysts. Tenet has a market value of $3.34 billion (Nussbaum, 1/11).
The Dallas Morning News: Tenet Defends Business Plan After Rejecting Bidder
Tenet Healthcare Corp. chief executive Trevor Fetter tried Tuesday to quiet investors who want to sell the company. On a conference call with analysts, Fetter highlighted reasons to be optimistic about the Dallas-based hospital system. He explained how the new health care law will gradually generate more revenue and how a rapidly aging population will use more health care services (Roberson, 1/12).
The Boston Globe: Caritas Parent Aims To Go National
Steward Health Care System chief executive Ralph de la Torre, making his debut at the annual J.P. Morgan Healthcare Conference, told investors this morning that he plans to take his company's Massachusetts cluster of community hospitals national (Weisman, 1/11).