logo
Share SHARE
FONT-SIZE Plus   Neg

Allscripts Names Paul Black CEO; Strategic Evaluation Ends

Healthcare information service company Allscripts Healthcare Solutions Inc. (MDRX), Wednesday appointed board member Paul Black as its President and Chief Executive Officer, effective immediately. The Chicago, Illinois-based company also said it has formally concluded its evaluation of strategic alternatives.

Following the news, shares of the company plunged 15 percent in after-hours trade.

Black replaces Glen Tullman, who will also step down from the board. Lee Shapiro will step down as President immediately, and will serve as a consultant to Black for up to six months, the company said in a statement.

Last month, Allscripts had confirmed evaluating strategic alternatives following takeover interest from third parties, reportedly from private equity firms such as Blackstone Group LP (BX), Carlyle Group LP (CG) and Silver Lake Management LLC.

Nevertheless, commenting on the strategic alternatives process, Chairman Dennis Chookaszian said, "The Board conducted a thorough and rigorous review of strategic alternatives. The Board concluded, however, that the best course at this time is to develop Allscripts' long-term potential under the direction of our new management team."

Commenting on the appointment, Chookaszian said, "Paul possesses a unique blend of operational, healthcare and IT sector expertise, and we are pleased that he has agreed to lead the Company at this critical juncture."

MDRX closed Wednesday's trading at $10.68, down $0.06 or 0.56%, on the Nasdaq. In after hours trade, the stock lost $1.62 or 15.17%.

by RTT Staff Writer

For comments and feedback: editorial@rttnews.com

Business News

Editors Pick
British lender Lloyds Banking Group Plc. Friday reported higher profit in its first half, benefited by increased net interest income and margin as well as lower impairment. Looking ahead, the company lifted its net interest margin forecast. Amgen reported an increase in second-quarter profit, driven by sales of arthritis drug Enbrel and osteoporosis treatments Xgeva and Prolia, and improved margins. Both earnings and sales topped Wall Street estimates. Electronic Arts Inc. (EA) on Thursday reported an increase in profit for the first quarter, reflecting continued strong digital revenues, with both earnings and revenues topping Wall Street estimates. However, shares of the company fell over 4 percent, after having detailed a weak outlook. Redwood...
comments powered by Disqus
RELATED NEWS
Trade MDRX now with 
Follow RTT