Hedge fund with $900M stake pressures Centene to replace board members

Politan Capital Management, a hedge fund with nearly a $900 million stake in Centene, is pressuring the company to replace several board members, The Wall Street Journal reported Nov. 3.

The pressure comes in an effort to motivate Centene's stocks, which haven't seen the growth that its peers' have, the Journal reported. The company's shares rose 7 percent Wednesday after reporting broke of Politan's stake in the company. 

The hedge fund suggested former WellCare CEO Kenneth Burdick and former Anthem CFO Wayne DeVeydt as potential replacements. 

Centene released a statement following the report, saying it would act in the best interest of shareholders. It also outlined plans to drive up profit margins in the near future. 

At the helm of Politan is activist investor Quentin Koffey, who successfully reformed the board of home improvement retailer Lowe's.

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