Citigroup Raises Tenet Healthcare PT From $5 To $6 On Community Health Systems Offer

Tenet Healthcare Corporation's THC board rejected a $6/share (40% premium) from Community Health Systems, Inc. CYH, Citigroup reports. As a result, CYH has taken its bid to a public shareholder appeal. “We think the offer is fairly compelling (our PT was previously only $5) and believe that a majority of shareholders would tender at $6.50,” Citigroup writes. Citigroup is raising its PT from $5 to $6 to reflect CYH's current offer, adding, “We see fairly balanced risk/reward at $6 and reiterate our Hold rating.” Community Health Systems closed Thursday at $31.64; Tenet Healthcare closed at $4.29.