Community Health ends effort to buy rival Tenet ($4 billion-plus offer)

Source: AP

NEW YORK - Community Health Systems Inc. has ended its effort to buy competitor Tenet Healthcare Corp. after Tenet rejected its latest $4 billion-plus offer.

Franklin, Tenn.-based Community Health said Monday it withdrew its offer to buy Tenet for $7.25 per share. It has also rescinded its effort to put nominees on Tenet's board of directors.

Tenet shares fell 6 cents to $6.46 in pre-market trading Tuesday.

Community Health has been trying to acquire Tenet since late 2010. It originally made a bid of $6 per share for the Dallas company, and took the bid public after Tenet turned it down. Community Health raised its offer on May 2. The latest bid valued Tenet at about $4.06 billion.

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