Exclusive: Thoma Bravo Weighs Multi-Billion Dollar Sale of Healthcare Cybersecurity Leader Imprivata
By Milana Vinn
NEW YORK, Jan 30 (Reuters) – Thoma Bravo is initiating a sale process for Imprivata, its portfolio company and a leading provider of digital identity software to the global healthcare sector, according to people familiar with the discussions.
The private equity firm has enlisted investment banks JPMorgan Chase & Co. and Evercore Inc. to advise on the potential transaction, which remains in preliminary stages, the sources said. One source indicated the sale could value Imprivata at approximately $7 billion or higher, signaling a significant return on Thoma Bravo's 2016 acquisition, which valued the company at $544 million.
Market observers anticipate strong interest from both strategic corporate buyers and other financial sponsors, drawn by Imprivata's entrenched position in the rapidly digitizing healthcare market. The company, headquartered in Waltham, Massachusetts, specializes in access management solutions that allow medical professionals swift, secure entry to clinical systems while tightly governing sensitive patient data.
Imprivata has reportedly grown to generate roughly $500 million in annual revenue, bolstered by strategic add-on acquisitions like its recent merger with identity threat detection firm Verosint. Its growth trajectory aligns with a surge in demand for cybersecurity tools, particularly as the integration of artificial intelligence across industries heightens data protection anxieties and regulatory scrutiny.
"The healthcare cybersecurity niche is white-hot," said David Chen, a technology M&A analyst at Sterling Capital. "Imprivata isn't just software; it's critical infrastructure for hospitals. This sale will test how the market values mission-critical, compliance-driven platforms in a high-interest-rate environment."
Sarah Wilkinson, a nurse and IT systems user at a major Boston hospital, offered a ground-level perspective: "As someone who uses this tech daily, the speed and security are non-negotiable. I just hope any new owner prioritizes the frontline user experience and doesn't let corporate maneuvering disrupt patient care workflows."
In contrast, Michael Torrence, a venture partner at a rival firm, was more pointed: "This is classic Thoma Bravo—buy, build, and flip for a 10x return. It's financial engineering at its finest, but it raises questions about long-term stability for customers. Will the next owner invest in innovation, or just strip costs to service debt?"
The valuation expectations appear supported by recent sector multiples. For instance, CyberArk was acquired last year by Palo Alto Networks at a valuation exceeding 17 times forward revenue.
Thoma Bravo, JPMorgan, and Imprivata declined to comment. Evercore did not respond to requests for comment.
(Reporting by Milana Vinn in New York; Editing by Dawn Kopecki and Lisa Shumaker)