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NextGen to lay off nearly 250 workers - Healthcare Dive
Dive Brief:
- Electronic health record vendor NextGen Healthcare will lay off nearly 250 employees by early next year, according to disclosures filed this month in three states.
- The job cuts will affect 84 employees in St. Louis, 99 workers in Baltimore and 65 people in Horsham, Pennsylvania, according to Worker Adjustment and Retraining Notifications.
- The layoffs come just after NextGen was acquired by private equity firm Thoma Bravo for $1.8 billion earlier this month. A NextGen spokesperson did not answer questions on whether additional layoffs are planned but said the company pursued the layoffs in line with its “focused growth strategy.”
Dive Insight:
NextGen’s layoffs in Missouri and Maryland will take place by Jan. 16, according to the WARN notices. In Pennsylvania, the job cuts will happen between Jan. 16 and March 1.
The company had almost 2,800 full-time workers as of the end of March, with the majority based in the U.S., according to a financial filing. The vendor doesn’t maintain a headquarters as many employees work remotely.
NextGen, which has more than 100,000 provider clients across the country, announced in September that it had agreed to be purchased in a take-private deal by Thoma Bravo, not long after rumors began swirling that the EHR vendor was exploring a sale.
The deal closed Nov. 10, giving the private equity firm a foothold in the EHR market. The firm specializes in software investment, though a Pitchbook report from July noted healthcare was a...
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