Athenahealth Inc. President and CEO Jonathan Bush has stepped down from his positions, effective immediately, as the board has started a process to explore strategic alternatives.
Shareholders in recent weeks have been pushing for change at the healthcare technology company. Elliott Management Corp. wrote to the board in mid-May regarding the company's lack of communication since Elliott proposed buying the company. Both Janus Henderson Group PLC and ClearBridge Investments LLC subsequently pushed for a sale process to begin. As part of the review, the board will consider a sale, merger or other transaction or remaining independent.
While the board conducts the review and searches for a new CEO, Chairman Jeff Immelt, formerly chairman and CEO of General Electric, has been named executive chairman. Marc Levine, executive vice president, CFO, chief accounting officer and treasurer, will assume more operational responsibilities and oversight. Board member Amy Abernethy will advise the company's executives on data strategy.
Lazard and Centerview Partners are serving as financial advisers, and Weil Gotshal & Manges LLP is legal counsel. The board has retained an executive search firm to help find a new CEO.
Additionally, athenahealth reaffirmed its full-year outlook for non-GAAP operating income of $210 million to $235 million, GAAP operating income of $108 million to $152 million, and GAAP total revenue of $1.31 billion to $1.38 billion.
