October 2, 2023 – Prairie Capital, a Chicago-based middle-market private equity firm, is pleased to announce the successful sale of Netalytics (or the “Company”), a Prairie Capital VI portfolio company. This exit highlights Prairie’s investment strategy of partnering with founders and management teams to build market-leading companies in high-growth industries.
Netalytics is a leading provider of electronic medical records and practice management solutions to substance use disorder clinics. The Company’s comprehensive software suite enables clinics to manage inventory, control dosing, and track regulatory compliance.
Prairie’s investment thesis focused on expanding Netalytics from a founder-owned business to a scalable platform company in the highly fragmented and growing substance use disorder market. This required substantial company-building investments including: (i) hiring key management to continue to expand the Netalytics brand and maximize sales and operational efficiencies; (ii) investing in technology to enhance current architecture, billing software, financial reporting, and performance analytics, and (iii) acquiring and integrating competitors to expand the Company’s product and technology portfolio.
These investments, among others, enabled Netalytics’ annual revenues to increase close to 3x during Prairie’s hold period.
Prairie sold Netalytics to Netsmart Technologies (or “Netsmart”), a portfolio company of GI Partners and TA Associates. Netsmart, a leading provider of Software as a Service (SaaS) technology and services solutions, designs, builds and delivers electronic health records (EHRs), health information exchanges (HIEs), analytics and telehealth solutions and services that are powerful, intuitive and easy-to-use.
Houlihan Lokey served as Netalytics’ financial advisor and Bass, Berry & Sims served as legal counsel.
For more information, please contact:
Sean McNally at smcnally@prairie-capital.com
Tony Danielak at tdanielak@prairie-capital.com