Vista Equity Partners, the owner of the Tampa -based electronic health record (EHR) and practice management software provider, Vitera Healthcare Solutions, will acquire Greenway Medical Technologies, a Carrollton, Ga.-based EHR software company, and combine the two companies, it was announced in a joint press release.
It is anticipated that the Vitera and Greenway businesses will continue as Greenway Medical Technologies with the products and services of both Greenway and Vitera marketed under the Greenway brand. Last year, Vista acquired Sage Healthcare Division and renamed them Vitera. The company ranked 38th in this year’s Healthcare Informatics 100, while Greenway ranked 61st.
Under terms of the agreement, Vista will pay Greenway stockholders $20.35 in cash for each share of Greenway common stock they hold. The deal is value at $644 million.
“We are pleased to approve this agreement and look forward to completing this transaction,” W. Thomas “Tommy” Green, founder of Greenway Medical Technologies and Chairman since the company’s inception in 1998, said in a statement. “It provides substantial cash value for our stockholders, and reflects our deep commitment to drive innovation that helps healthcare professionals succeed and thrive in today’s evolving healthcare landscape.”
Greenway will continue to have its headquarters in Georgia as part of the agreement and upon closing, will operate as a privately held company. The deal is expected to close in the fourth quarter of 2013.
Additionally, according to the press release, an affiliate of Vista Equity Partners will commence a tender offer for all of the outstanding shares of Greenway’s common stock. Many of Greenway’s directors have each agreed to tender their stock shares into the offer. Future plans for current Greenway executives were not shared within the press release.