What’s going on with Tenet Healthcare?
Tenet Healthcare Corp. (THC) shares slightly dipped despite the company's announcement that it reached a new deal for network access with Cigna Corporation (CI) via the signing of a new three-year contract. Cigna customers will have continued in-network access to Tenet’s hospitals, physician clinics and outpatient centers through 2025 under the new pact, which is effective Jan. 1, 2022.
Shares of THC were down 0.82% to $75.36 per share on Friday afternoon, while CI shares were down 0.77% to $216.52 per share.
What does this mean for THC?
“We are pleased to have reached this agreement with Cigna four months earlier than the expiration of our current contract,” said Ronald A. Rittenmeyer, Executive Chairman of Tenet Healthcare. “The pandemic has brought many challenges for our patients and providers, underscoring the importance of ensuring uninterrupted, in-network access to the quality physicians and care facilities Cigna members know and trust. This includes a broader network of lower-cost ambulatory surgery centers that are part of the multi-year agreement.”
Mike Triplett, President of U.S. Commercial for Cigna, added, “this agreement builds on our long-standing efforts to ensure millions of Cigna customers can access affordable, quality care from the skilled providers of Tenet Healthcare. Together, we will continue to enhance the healthcare experience for patients while improving the health, well-being and peace of mind of the communities we serve.”
THC has a Fundamental Rank of 16. Find out what this means to you and get the rest of the rankings on THC!
Tenet Healthcare is a Dallas-based healthcare provider organization operating a collection of hospitals (65 at the end of 2020) and many outpatient facilities, including ambulatory surgery centers, urgent care centers, freestanding imaging centers, freestanding emergency rooms/micro-hospitals, and physician practices across the United States. Tenet enjoys the number-one ambulatory surgical center position nationwide, as well.
