Market Overview

Athenahealth Explores Strategic Alternatives As CEO Steps Down

Athenahealth Explores Strategic Alternatives As CEO Steps Down

Amid a storm of sexual misconduct allegations against its top executive and a takeover attempt by Elliott Management Corp., Athenahealth, Inc (NASDAQ: ATHN) announced Wednesday the immediate resignation of Jonathan Bush as president and CEO and the exploration of strategic alternatives, including a potential sale or merger.

The board also appointed Jeff Immelt, former CEO of General Electric Company (NYSE: GE), as executive chairman.

Why It’s Important

Athenahealth investors rode waves of volatility this year, with the stock fluctuating between $115 and $153. The latest management changes help rid the company of a PR sore spot and, as the board says, position Athenahealth to capitalize on its healthcare tech platform.

What’s Next

Athenahealth has begun a search process to select a new CEO, and it confirmed no announcements will be made regarding a merger unless the board has approved a transaction.

According to Elliott, the firm has received interest from other potential buyers.

The stock was halted in Wednesday's pre-market session. Shares re-opened at 9:50 a.m. ET, trading higher by 6 percent at $160.33 at time of publication.

Related Links:

Analyst: When Americans Sneeze, Teladoc And Athenahealth Profit

Elliott Management Makes $160-Per-Share Takeover Offer For Athenahealth

Posted-In: Jeff Immelt Jonathan BushNews Management Top Stories Best of Benzinga


Related Articles (ATHN + GE)

View Comments and Join the Discussion!
Don't Miss Any Updates!
News Directly in Your Inbox
Subscribe to:
Benzinga Premarket Activity
Get pre-market outlook, mid-day update and after-market roundup emails in your inbox.
Market in 5 Minutes
Everything you need to know about the market - quick & easy.
Daily Analyst Rating
A summary of each day’s top rating changes from sell-side analysts on the street.
Fintech Focus
A daily collection of all things fintech, interesting developments and market updates.
Thank You

Thank you for subscribing! If you have any questions feel free to call us at 1-877-440-ZING or email us at

8 Biggest Price Target Changes For Wednesday

Three Industries Already Using Self-Driving Vehicles