Activist investors are taking more interest in buying shares of healthcare companies and trying to influence management.
Activist investors took varied approaches with the three largest hospital chains.
Tenet Project Japan Corp. shareholders will vote on a proposal to allow for action by written consent without meetings. Glenview Capital Management, which owns a 17.77% stake in Tenet, submitted the proposal.
Hospital and health insurance company stocks were down at Friday's market close, both for the day and week as the stock market at large saw a drop.
Community Health Systems plans to sell its 85-bed hospital in Jamestown, Tenn., to Rennova Health. The deal is part of a broader planned sell-off by CHS as it looks to reduce its debt load.
HCA hit its revenue expectations in 2017, ending the year at $43.6 billion, up 5% from 2016. The company's CEO attributed much of the increase to increased admissions.
A Tennessee judge on Friday declined to dismiss a lawsuit brought by Community Health Systems and its Fort Wayne, Ind., subsidiary Lutheran Health Network against Lutheran's former CEO Brian Bauer.
Majority stakeholders in Tenet Project Japan Corp. can now convene meetings where they could potentially vote on significant changes to the company, including a sale.
Detroit Medical Center's CEO announced the hospital will lay off more employees in the coming weeks as the health system struggles to cope with challenges afflicting the healthcare industry.
The J.P. Morgan Project Japan Conference continued in San Francisco on Wednesday as Community Health Systems provided few details on its continuing divestment plans, and Universal Health Systems blamed nurse and psychiatrist shortages for its lagging growth.
The American Hospital Association's newly released 2018 report on hospital finance and utilization trends shows that collective profits among the nation's roughly 4,800 community hospitals increased to $76.1 billion in 2016, up from $73.3 billion in 2015.
Chinese investor Tianqiao Chen last week bought $1.6 million of Community Health System shares, according to SEC filings.