Private equity firm Thoma Bravo LLC has closed a deal for MedeAnalytics Inc., as interest in health care technology remains strong.  

MedeAnalytics provides cloud-based financial performance analytics for the health care industry. The company's tools are used by more than 1,500 health care organizations globally to try to improve their financial health.

The deal comes at a time when health care providers are looking for ways to pare down costs, in part due to pressure from the Affordable Care Act. That cost-cutting has led to M&A across the health care spectrum, from physician group consolidation spurred by a need to grow services and share costs, to the acquisition of cloud-based technology services, which are in demand because providers need to document improved patient outcomes.

"Now more than ever, health care providers and hospital systems alike are under pressure to rein in costs and demonstrate value to their customers and patients," says Thoma Bravo managing partner Scott Crabill.

The Emeryville, California-based target was backed by private equity firms Bain Capital Ventures and Emergence Capital Partners, both of which will maintain minority stakes.

Chicago-based Thoma Bravo invests in software and technology-enabled services businesses. The firm has about $8.5 billion in equity commitments. In August, Thoma Bravo said it would buy a majority stake in encryption-software maker DigiCert from Boston PE firm TA Associates. Also in August, the firm made a deal for IPipeline, a software-as-a-service provider for the life insurance sector.

Thoma Bravo won Mergers & Acquisitions 2014 M&A Mid-Market Deal of the Year award for its $930 million acquisition of TravelClick, which provides cloud-based software services to the hospitality industry.  For more on the firm, watch our video interview with co-founder Carl Thoma and read Thoma Bravo & Others Bet Big on the Cloud.

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