ET Health Management Willing to Give Glenview up to Five Board Seats Text By Melodie Warner Health Management Associates Inc. (HMA) said it is willing to give dissident shareholder Glenview Capital Partners up to five board seats, but it disagrees with a proxy firm’s recommendation that shareholders replace the entire board. The hospital operator Tuesday proposed immediately adding an unspecified number of board nominees put forth by shareholder activist Glenview Capital Partners, an offer that could ease the tension between the two sides. The proposal to Glenview, which included making one of the fund’s nominees the chairman, came a week after Health Management agreed to be bought by rival hospital operator Community Health Systems Inc. (CYH)for $3.9 billion. Glenview is the biggest owner of both companies’ shares but has been pushing to replace Health Management’s board through a consent solicitation. “The board believes that it is critical and in the best interest of shareholders and HMA for there to be some continuity on the board given, among other things, the ongoing government investigations, the management transition and the pending transaction with Community Health Systems Inc.,” Health Management said in a statement. Glenview previously said it would wait for the shareholder vote to play out.
Health Insurance Innovations, Inc., Appoints Healthcare Financial Expert Paul Gabos to Board of Directors
“Paul Gabos is a veteran of the public healthcare provider sector, with over 20 years of successful business building experience,” said Michael Kosloske, Chairman, President and Chief Executive Officer of Health Insurance Innovations. “His extensive experience and unique insight into the healthcare services industry will provide an immediate value-add to our Board of Directors during a period of rapid expansion at Health Insurance Innovations.” Mr. Gabos served as CFO of Lincare Holdings Inc., a home healthcare services company with approximately $2 billion in annual revenues, from 1997 until its acquisition in 2012. During his 20-year tenure at Lincare, Mr. Gabos’ multiple achievements included growth in annual revenues from $349 million to $2.0 billion, an increase in market share from 11% to 28%, compounded annual returns to shareholders of 14% over 15 years, purchase and integration of over 200 business acquisitions and execution of multiple debt financings, including the placement of $2.1 billion of debt instruments. Since 2002, Mr. Gabos has served as a member of the Board of Directors of MEDNAX, Inc. (NYSE: MD ), a publicly-traded physician practice management company, where he serves as Audit Committee Chairman and a member of the Executive Committee of the Board. He is also a member of the Board of Directors of privately-held Life Line Screening Holdings, LLC.
Health Management Associates Announces Independent Inspector to Review and Certify Consents Submitted by Glenview
In addition, undue reliance should not be placed on Health Management Associates, Inc.’s forward-looking statements. Except as required by law, Health Management Associates, Inc. disclaims any obligation to update its risk factors or to publicly announce updates to the forward-looking statements contained in this press release to reflect new information, future events or other developments. Important Additional Information and Where to Find It Health Management Associates, Inc.