Just What the Doctor Ordered for Athenahealth

On June 6,

Elliott Management, which proposed an all-cash buyout of $6.6 billion on May 7, has been adamant in its position that Athenahealth consider a sale, and this was echoed by at least one other major shareholder, Janus Henderson Group. Given the lack of communication from Athena leadership following Elliott's original proposal, we are pleased to see that the board is engaging in this conversation, especially given that the buyout bid of $160 per share is a 45% premium to our stand-alone $110 fair value. While Bush has shaped the firm to become a material player in the competitive healthcare IT industry, a change of leadership gives us more confidence that the board will prioritize considering shareholder value with a sale.

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