TA Associates’ Investment in Netsmart Technologies


Kirkland & Ellis is providing legal counsel and Deloitte is serving as financial advisor to TA Associates.

TA Associates, a leading global growth private equity firm, has signed a definitive agreement to invest, alongside GI Partners, in Netsmart Technologies, Inc., a leading healthcare software company delivering management process solutions and electronic medical records to the health and human services (HHS) and post-acute end markets.

TA Associates and GI Partners, a current shareholder in Netsmart, will acquire the stake in Netsmart held by Allscripts Healthcare Solutions, Inc. (NASDAQ: MDRX). The transaction is expected to close in the fourth quarter of 2018 and is subject to customary closing conditions. Financial terms of the transaction were not disclosed.

Founded in 1968, Netsmart provides software and services to the HHS and post-acute markets. The Company’s products, comprised primarily of electronic health records (EHRs) and related offerings, address the clinical, financial and administrative needs of its clients. The Netsmart suite includes care coordination, connectivity and integration, analytics, benchmarking, consumer engagement, mobility and telehealth offerings, among others. The largest provider of its kind in the United States, Netsmart serves more than 600,000 users from over 25,000 organizations across the country within four core areas: behavioral health, social services, care at home and senior living. The Company is headquartered in Overland Park, Kansas, with additional offices in Arkansas, California, Illinois, Missouri, New York, North Carolina and Ohio.

The Kirkland team was led by corporate partners Adam Phillips (Picture), Sean Kramer and Ryan Jackson and associates Payson Lyman, Ziyad Ziyadzade, Brandon Knop and Matthew Hutchinson; and included tax partners Karen Lee and Devin Heckman; technology and IP transactions partner Vladimir Khodosh and associate Jerry Tower; and healthcare regulatory partners Dennis Williams and Chad Ehrenkranz.

Involved fees earner: Chad Ehrenkranz – Kirkland & Ellis; Matthew Hutchinson – Kirkland & Ellis; Ryan Jackson – Kirkland & Ellis; Vladimir Khodosh – Kirkland & Ellis; Brandon Knop – Kirkland & Ellis; Sean Kramer – Kirkland & Ellis; Karen Lee – Kirkland & Ellis; Payson Lyman – Kirkland & Ellis; Adam Phillips – Kirkland & Ellis; Jerry Tower – Kirkland & Ellis; Dennis Williams – Kirkland & Ellis; Ziyad Ziyadzade – Kirkland & Ellis; Devin Heckman – Wilson Sonsini Goodrich & Rosati;

Law Firms: Kirkland & Ellis; Wilson Sonsini Goodrich & Rosati;

Clients: TA Associates;