Tenet Healthcare Reaches Deal With Glenview Capital Management - Quick Facts

(RTTNews) - Tenet Healthcare Corp. (THC) said that its board of directors has reached an agreement with Glenview Capital Management, under which Glenview has withdrawn its proposal to amend the company's bylaws that would allow shareholders to take action by written consent without a meeting.

In addition, Tenet Healthcare noted that Glenview has agreed to vote its shares in favor of all of the Board's nominees and support all Board recommended proposals at the company's 2018 Annual Meeting of Shareholders.

As part of the agreement, the Tenet Board is revising the company's bylaws to further align its corporate governance with best practices. This includes revising the special meeting bylaw so that it can only be amended by a vote from shareholders representing a majority of the outstanding common stock, and holding the company's annual meeting at least every 13 months.

The company's board will also add a shareholder rights plan bylaw with provisions including that approval from 75 percent of the board members is required to adopt any future shareholder rights plan.

Further, the term of the rights plan must be limited to a maximum duration of one year plus a 90 day period to solicit shareholder approval of any longer duration, if applicable.