Greenway Health Operational Issues and Class Action Lawsuit Lead To Lower EBITDA
Anticipating a lower EBITDA and revenue in 2021 compared to 2020, Tampa, Fla.-based electronic health records vendor Greenway Health continues to face operational issues and a class-action lawsuit from the misrepresentation of the capabilities of its electronic health records product Prime Suite. The expected 2021 EBITDA is between $70 million and $80 million and their revenue is expected at about $300 million amid lower demand due to the pandemic.
With $60 million of liquidity including $30 million in cash and $30 million available under its revolver, Greenway Health’s financial performance in the past year led a few lenders to consider organizing, but a formal group was never formed. Adding to the company’s financial distress, the Department of Justice also entered into a corporate integrity agreement with the company which forces Greenway Health to provide its customers the latest version of Prime Suite for free or migrate them to other Greenway software products for free, or release them from their contracts. Click through to read more on Greenway Health’s current situation: https://reorg.com/greenway-health-ebitda/