Debbie Osteen, who stepped down as president of the behavioral health division of Universal Health Services Inc. earlier this month, was named CEO of Acadia Healthcare Inc. Co. Monday, following the ouster of Joey Jacobs.
The leadership shakeup likely signals a shift in the company’s strategy, according to one analyst who covers the company.
“When things work people are happy, when things don’t work they aren’t. Things weren’t working,” said Frank Morgan, an analyst with RBC Capital Markets. “[Osteen] is more of an operational CEO which is kind of different than Joey who is more of a builder and acquirer.”
Acadia has expanded under Jacobs’ watch, but did not reach its third quarter earnings projections and the company was considering closing or selling some of its lower-performing United Kingdom facilities.
The board of director’s decision to fire Jacobs marks the first time the Franklin-based company will have a new leader since it was a seven-facility system in 2011. Today, Acadia (Nasdaq: ACHC) operates close to 600 facilities in 40 states and the United Kingdom, and is Middle Tennessee’s fifth-largest publicly traded health care company, with $2.84 billion of revenue in 2017, according to Nashville Business Journal research.
“She’s more of a hands-on operational type of leader. …Given where Acadia is today that’s probably a good thing,” Morgan said.
Osteen’s base salary will be $900,000, according to a filing with the Securities and Exchange Commission, and she will be eligible for a 2019 incentive award of $3.2 million. To offset compensation forfeited by breaking her separation agreement with UHS, she will also get a one-time bonus of $350,000, a one-time equity grant not to exceed $6.5 million and an additional $2.5 million on the first anniversary of her hiring, according to the filing.
In addition to being named CEO, Osteen was also named to the company’s board of directors.
No comments:
Post a Comment
Note: Only a member of this blog may post a comment.