Healthcare supply chain company Premier is evaluating potential "strategic alternatives" to enhance value for stockholders. Working with financial and legal advisors, the company is considering a broad range of potential options, including a sale of part or all of the company, recapitalization or other partnership opportunities, among other potential alternatives.
“Premier’s board and management team are committed to maximizing value and determined that an evaluation of strategic alternatives is the best way to advance that goal,” said Terry Shaw, chair of the board. “Premier plays an integral role in the U.S. healthcare system and is a key partner to hospital systems, healthcare providers and other stakeholders across the country. Given the company’s strong customer relationships, significant cash generation and flexible balance sheet, Premier has a wide range of strategic options to review. The Board believes that this process will help ensure the company is on the best path forward to unlock value for all of Premier’s stakeholders.”
“Evolving market dynamics, coupled with an uncertain and challenging operating environment, compel us to take further action to adapt and help ensure Premier is best positioned for future success," Michael J. Alkire, Premier’s president and CEO, said in a statement. "While we conduct this strategic evaluation, we remain as focused as ever on supporting our members and other customers in providing high-quality, cost-effective healthcare and delivering on our mission to improve the health of communities.”
In February, Premier announced it had acquired the 100 Top Hospitals program from Merative (formerly IBM Watson Health), with plans to integrate the program within PINC AI, Premier’s technology and services brand. The 100 Top Hospitals program is intended to inspire hospital and health system leaders to pursue higher performance and deliver added value to their patients and communities.
