An entity affiliated with Chinese billionaire Tianqiao Chen last week sold another $40 million worth of their shares of Community Health Systems, following up on similar transactions earlier in the month.
Chen’s Shanda Media group has been a big holder of Franklin-based CHS since the summer of 2016, when the company’s shares were trading in double digits. On Monday, CHS shares (Ticker: CYH) were down about 0.7 percent to $8.34, which is still nearly double their levels of five weeks ago.
Shanda’s sales of almost 4.6 million shares worth $39.8 million last Monday trimmed its CHS holdings to about 17.9 million shares, or a shade under 15 percent of CHS’ total. A month ago, that number was 24 percent.
CHS executives are wrapping up a years-long push to divest about half of their hospitals and pay down some of the debt the company took on since 2007 to buy Triad Hospitals and Health Management Associates. The company also is preparing for a CEO change, with longtime leader Wayne Smith recently announcing a plan to step down Jan. 1 and make way for President and COO Tim Hingtgen.