Elliott Management Proposes To Buy Athenahealth For $160/shr In Cash; Stock Up

(RTTNews) - Elliott Management Corp. said it proposed to acquire athenahealth Inc. (ATHN) for $160 per share in cash for 100% of the outstanding shares of the Company, representing an enterprise value of about $6.9 billion. The Proposal represents a premium of 27% to the current stock price and about 50% to the stock price prior to its 13D filing.

ATHN is currently trading at $157.53, up $31.45 or 24.94 percent.

Elliott, which manages funds that own common stock and economic equivalents representing 8.9% of the outstanding common stock of athenahealth, said it has received financing indications from the leading banks in leveraged finance, who are highly constructive and eager to provide financing for a take-private. It has long-standing working relationships with these lenders and are confident that it will have fully committed financing in the timeline.

Elliott stated that the proposal is not intended to be legally binding and is subject to, among other things, the negotiation and execution of a mutually satisfactory definitive acquisition agreement containing provisions customary for this type of transaction, regulatory approvals, and satisfactory completion of due diligence.