Community Health Systems in Preliminary Discussions
Published: Monday, September 19, 2016 9:09 am
Community Health Systems, Inc. (NYSE: CYH) announced today that the company, with the assistance of advisors, is exploring a variety of options with financial sponsors, as well as other potential alternatives.
The discussions are at a very preliminary stage, and there is no timeline established for this review. There can be no certainty that the exploration will result in any kind of transaction. The company does not expect to make further public comment regarding these matters while the exploration process takes place.
"Community Health Systems' primary focus continues to be on delivering high-quality health services in the communities where we operate," said Wayne T. Smith, chairman and chief executive officer of CHS. "Our management team is completely committed to efforts that advance clinical excellence, operational and financial performance and growth strategies that will benefit our organization and the customers we serve."
The statement comes in response to rumors that began to swirl on Friday after Bloomberg reported the company might be up for sale. Headquartered in Nashville, the national hospital company has more than 150 hospitals in 22 states but has seen significant losses over the last year ... to the tune of a 75 percent drop. The Bloomberg report noted selling CHS could be tough considering the company's debt load.