Madison Dearborn Partners (MDP) is acquiring a significant ownership position in NextGen Healthcare, joining existing investor Thoma Bravo to support the company’s ongoing expansion.

The Chicago-based private equity firm announced the deal in partnership with Thoma Bravo and NextGen’s management team. Thoma Bravo, which acquired NextGen in a take-private transaction in 2023, will retain a sizable stake in the Irvine, California-based company.

NextGen provides EHR and practice management software designed for ambulatory healthcare providers.
Thoma Bravo has worked with NextGen over the past year to modernize its product offerings and operations. The company reports it has also expanded its executive leadership and achieved organic growth during that period. The new partnership with MDP is aimed at continuing these initiatives.

“We are delighted to partner with MDP and Thoma Bravo to accelerate our investment in developing and delivering transformational solutions to the ambulatory healthcare marketplace,” said David Sides, NextGen’s chief executive officer. Srinivas Velamoor, president and chief operating officer, noted that the company is focusing on AI-driven capabilities to enhance provider and patient experiences.

MDP partner Jason Shideler said, “We are excited to partner with NextGen Healthcare’s management team and Thoma Bravo to help the company expand its software offering and assist even more providers in operating efficiently and delivering seamless care to their patients.”

The transaction is expected to close in the second quarter of 2025, pending regulatory approval.

Legal counsel for NextGen and Thoma Bravo is being provided by Goodwin Procter LLP, while MDP is represented by Kirkland & Ellis LLP.

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