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Glenview Calls Community Health's $3.6B Deal for Health Management 'Floor Value'

While Glenview Capital Management may not support terms of Tuesday's merger as attractive for H.M.A shareholders or the company's strategic review as particularly successful, it nonetheless may stand to benefit from the deal. Glenview is Community Health's top shareholder, according to Bloomberg data, with a near 10% stake.

In Tuesday trading H.M.A shares fell nearly 11% to $13.30. Community Health shares fell 3.49% to $45.58.

For Glenview, even an unattractive merger may prove to be a large windfall. H.M.A shares have gained over 100% in 2013, amid speculation the company could be an acquisition target as hospitals use consolidation to position for the implementation of the Affordable Care Act or "Obamacare." Community Health shares, meanwhile, have gained over 50% year-to-date.

Prior to Tuesday, H.M.A shares have gained over 100% in 2013, amid speculation the company could be an acquisition target as hospitals use consolidation to position for the implementation of the Affordable Care Act or "Obamacare." Community Health shares, meanwhile, have gained over 50% year-to-date.

Expecting a wave of consolidation among hospitals, outpatient facilities, health care providers and pharmacy benefit managers, Glenview has made the sector its biggest bet, according to Bloomberg data.

Glenview's Obamacare M&A Bet

-- Written by Antoine Gara in New York

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