DHS to ‘explore alternatives’

September 16, 1998

Imaging services firm Diagnostic Health Services of Dallas has engaged Prudential Securities to help the company explore “various alternatives to maximize DHS shareholder value.” The company did not specify what those alternatives might be, but

Imaging services firm Diagnostic Health Services of Dallas has engaged Prudential Securities to help the company explore “various alternatives to maximize DHS shareholder value.” The company did not specify what those alternatives might be, but they could include either acquisitions or a merger with another firm.

Any acquisitions could be complicated by the recent decline in Diagnostic Health’s share price, however. The plunge of the stock market has cut the value of the company’s stock in half, with DHS shares falling from around $10 a share in July to about $4.50 in mid-September. Shares of the firm were trading as high as $13 a share in late March. The lower value of DHS shares would make it more difficult to use stock as an acquisition vehicle.