Prominent athenahealth investor Elliott Management Corp. is offering about $6.5 billion to take the medical billing software maker private after saying it has grown frustrated with the company's performance.
Shares of athenahealth soared early Monday after the shareholder outlined its proposal.
The investor says it owns about a 9 percent stake in athenahealth, and the company has not made the changes it needs to grow and create value as a public company.
Elliott Management plans to take over athenahealth for $160 per share in cash. That's a 27 percent premium to the stock's Friday closing price of $126.08.
Athenahealth did not immediately return a call from The Associated Press seeking comment.
Shares of Watertown, Massachusetts-based athenahealth Inc. jumped 24 percent to $156.24 shortly after markets opened Monday.
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