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
Sobeys Inc. is cutting 800 jobs across Canada as part of the grocery store chain's efforts to cut costs and streamline its organization. Sobeys is Canada's second-largest grocery chain behind Loblaw Companies Ltd. The job cuts come as Sobeys, like others in the industry, grapple with stiff competition from rivals, higher costs and technological change. This year's holiday shopping season has got off to a strong start. Online shoppers spent $1.52 billion on Thanksgiving Day, with smartphones accounting for 46 percent of all traffic to U.S. retail websites, according to Adobe Analytics data. The $1.52 billion in online spend by Thanksgiving evening represents 16.8 percent growth from last year, according to the data. Shares of thyssenKrupp AG were gaining around 2 percent in the morning trading in Germany after the steel giant Thursday said it expects clearly positive net income and significantly higher adjusted EBIT, a key earnings metric, in fiscal 2018. This was after reporting higher adjusted EBIT, sales and order intake in its fiscal 2017, despite a net loss due to charges.
comments powered by Disqus
Follow RTT