New York (HedgeCo.Net) – Hedge fund Glenview Capital Management LLC, which owns 14.6% of the common stock of Health Management Associates, Inc. today (25th) filed a preliminary Consent Solicitation Statement nominating eight industry leading candidates to replace the current Board of Directors.
In an open letter to shareholders the company cited “significant room for improvement” and a “deficiency at both the Board and management level” as reasons for the move. Glenview said HMA has “completed a lost decade through 2012″ and has underperformed its peers over both the near and medium term.
“HMA’s ability to properly forecast and deliver upon management’s business plan is well below average in the industry, and financial leadership has failed to establish investor credibility over time,” Glenview said in the letter.
The hedge fund also said that following more than 18 months of conversations with HMA, both the board and management were “unreceptive to constructive discussion” and that the “inability to find common ground to assist HMA in finding a constructive path forward have left us with (this) decision path.”
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