Exhibit 99.1
CPSI Appoints Jeffrey A. Strong to Board of Directors
Announces Agreement with Gilead Capital
MOBILE, Ala. — Feb. 27, 2019 — CPSI (NASDAQ: CPSI) (“CPSI” or the “Company”), a community healthcare solutions company, today announced that the Company has elected Jeffrey A. Strong, Managing Partner of Gilead Capital LP, as a Class I director of the Board of Directors (the “Board”), filling the vacancy resulting from John C. Johnson’s resignation from the Board in November 2018. As a Class I director, Mr. Strong’s term will expire at the 2021 Annual Meeting of Stockholders.
Mr. Strong’s appointment is part of an agreement with Gilead Capital LP and related entities (collectively, “Gilead”), under which Gilead has agreed to vote for all of CPSI’s director nominees and to other voting and standstill provisions. These restrictions apply until thirty (30) days prior to the deadline for the submission of stockholder nominations for directors at the Company’s 2021 Annual Meeting of Stockholders.
In addition, CPSI has appointed Glenn P. Tobin, a current director, as the independent Chairperson of the Board effective at the Company’s 2019 Annual Meeting of Stockholders, succeeding David A. Dye, Chairman and Chief Growth Officer of CPSI, who will remain on the Board. CPSI will also further refresh the Board with a new independent director, who is mutually agreeable with Gilead, before the Company’s 2020 Annual Meeting of Stockholders.
Mr. Dye said, “We welcome Jeffrey as a new director and look forward to working together. CPSI’s Board regularly takes steps to refresh and strengthen the composition of its Board, and we are pleased to add Jeffrey’s extensive expertise as we continue to execute our strategy of evolving CPSI from a market-leading provider of software to the leading provider of software and services to the communities we serve.”
Mr. Strong added, “Gilead appreciates the constructive dialogue we have had with the Board and management about CPSI’s strategy and unique customer value proposition. CPSI has significant opportunities to create shareholder value and continue to elevate performance. I look forward to joining the Board and working with the existing directors to realize CPSI’s full potential.”
The complete agreement between CPSI and Gilead will be included as an exhibit to the Company’s Current Report on Form8-K, which will be filed with the Securities and Exchange Commission (“SEC”).
Jeffrey A. Strong Biography
Jeffrey A. Strong is the Chief Investment Officer, Managing Partner, andCo-Founder of Gilead Capital LP. Prior to Gilead, Mr. Strong was a Partner and Senior Analyst at QVT Financial LP, a multi-strategy hedge fund, where he specialized in active ownership investments and other global special situations. Before QVT, Mr. Strong served as an Analyst at Shenkman Capital Management, focusing on high-yield bond investments in the healthcare, chemical, and telecom industries. Mr. Strong has served on the Nominating Committee of Fornebu Utvikling ASA, on the boards of Landauer, Inc. and Treveria plc, and on the board of TPC Group Inc., where he was also Chairman of the Compensation and the Nominating and Governance Committees. He has an M.B.A. from the College of William & Mary, a B.S. from the University of Missouri, and is a CFA® charterholder.
