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Fly News Breaks for June 16, 2016
AMSG, EVHC
Jun 16, 2016 | 05:42 EDT
Citi analyst Ralph Giacobbe downgraded Envision Healthcare (EVHC) to Neutral saying the merger ratio is "surprising." The analyst struggles to see why Envision agreed to the AmSurg (AMSG) deal and questions "why now when business was seemingly improving and valuation depressed vs peers." The fixed exchange ratio implies a stock price of $25.89 based on AmSurg's closing price yesterday, Giacobbe tells investors in a research note. He cut his price target for Envision to $27 from $28.
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