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Glenview Capital Management, Tenet Healthcare's largest shareholder, is pulling its two representatives off the hospital company's board, citing "irreconcilable differences" over strategy.
Tenet said on Friday that Glenview executives Randy Simpson and Matt Ripperger had resigned from the board.
In a letter Tenet filed with the U.S. Securities and Exchange Commission, Simpson and Ripperger said they had decided "the most effective way forward to promote strong patient satisfaction and long-term value creation for Tenet is to step off this board."
They said the move triggered the expiration of a standstill agreement Glenview had signed with Tenet. "Glenview may evaluate other avenues to be a constructive owner" of the company, they added.
They said Glenview was fully committed to its ownership stake in Tenet.