CHS Pursues Hostile Tenet Bid

Community Health Systems has nominated 10 independent directors to Tenet’s board in order to advance its goal of acquiring the rival hospital operator.

Community Health Systems (CHS) has nominated 10 independent directors to Tenet’s board in order to advance its goal of acquiring the rival hospital operator, The Wall Street Journal reports. The move comes as Tenet rejected CHS’ $6 per share, or $3.3 billion takeover offer.

The hospital operator, which adopted a shareholder-rights plan to dilute the holdings of someone acquiring 4.9% of common stock in order to defend the acquisition, is seeking between $6.5 and $9 per share. Other bidders may include Blackstone, TPG Capital and Welsh, Carson, Anderson & Stowe, adds Bloomberg.

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