NextGen Healthcare Information Systems, which is a wholly owned subsidiary of Quality Systems, is acquiring Entrada for approximately $34 million. The all-cash transaction is expected to close promptly upon the completion of customary closing conditions.
In calendar year 2016, Entrada had revenue of approximately $12 million and had a loss of approximately $2 million. Quality Systems will provide additional transaction details at its upcoming May conference call to review results of its fiscal year 2017 fourth quarter and year ended March 31, 2017.
Based in Nashville, TN, Entrada provides mobile-enabled, cloud-based solutions that integrate with multiple clinical platforms and all major EHRs. This makes Entrada's software a vital part of the daily clinical workflow for users, enabling organizations to maximize their existing technology investments while enhancing physician and staff productivity.
"Mobile health solutions – in the palm of the provider – are quickly becoming some of the most valuable real estate in healthcare," Rusty Frantz, President and CEO of NextGen Healthcare, said in a statement. "We intend to invest in expanding Entrada's capabilities, continuing to provide enhancements to their already impressive platform. This acquisition will improve physician satisfaction by providing a better caregiver and patient experience, while enabling clients to improve financial outcomes."
Entrada's CEO Bill Brown is also pleased with the deal, adding that with NextGen Healthcare's resources, it will be able to "accelerate unlocking the productivity potential for caregivers, ultimately helping them gain time to focus on their patients."
The seller was represented by JEGI.