Franklin, Tenn.-based Community Health Systems has asked a federal judge to dismiss Tenet Healthcare's lawsuit seeking to recover the costs incurred from resisting CHS' takeover bid, according to a Bloomberg report.
CHS attorneys have said Dallas-based Tenet has no legal standing to seek costs, and have asked U.S. District Judge Barbara M.G. Lynn in Dallas to dismiss the suit.
CHS withdrew a $7.3 billion offer to buy Tenet in May after Tenet rejected the bid three times and rejected an all-cash takeover as grossly inadequate. Tenet is seeking unspecified "costs and disbursements incurred in connection with analyzing defendants' materially false and misleading proxy solicitations and statements, and economic harm related thereto," according to the report.
Analysts: CHS Offer Not Enough to Woo Tenet
Tenet Rejects Community Health System's Best and Final Offer
CHS attorneys have said Dallas-based Tenet has no legal standing to seek costs, and have asked U.S. District Judge Barbara M.G. Lynn in Dallas to dismiss the suit.
CHS withdrew a $7.3 billion offer to buy Tenet in May after Tenet rejected the bid three times and rejected an all-cash takeover as grossly inadequate. Tenet is seeking unspecified "costs and disbursements incurred in connection with analyzing defendants' materially false and misleading proxy solicitations and statements, and economic harm related thereto," according to the report.
Related Articles on CHS and Tenet Healthcare:
Tenet Seeks Damages For Costs of Resisting Community Health TakeoverAnalysts: CHS Offer Not Enough to Woo Tenet
Tenet Rejects Community Health System's Best and Final Offer