Pharos Capital buys THEMA Health Services

The hospice and skilled home health business marks the second investment from Pharos’s latest flagship fund, Pharos Capital Partners IV.

Pharos Capital has acquired THEMA Health Services, a Prescott, Arizona-based provider of hospice, skilled home health, and palliative care services.


Dallas, Texas and Nashville, Tennessee, October 4, 2021 – Pharos Capital Group, LLC (“Pharos”), a middle-market private equity firm based in Dallas and Nashville, announced it has acquired THEMA Health Services (“THEMA” or “the Company”), a leading provider of hospice, skilled home health, and palliative care services throughout the state of Arizona. Founder Theresa Lungwitz will retain a minority stake in the Company and serve as Executive Chairperson. Additional terms were not disclosed.

Founded in 1996 and headquartered in Prescott, AZ, THEMA provides hospice care, including routine medical care, pain and symptom management, and emotional and spiritual support for terminally ill patients and their loved ones.

The Company provides services primarily in patients’ homes and also in nursing homes, skilled nursing facilities, and assisted living facilities. The Company also supplies skilled home health and palliative care services to non-hospice patients who may be recovering from surgery, dealing with an illness, or living with a chronic health condition. THEMA serves over 2,000 patients annually, including a substantial number of patients in underserved, rural markets in central and northern Arizona.

Jim Phillips, a Partner at Pharos, said, “As Medicare hospice daily per diem payments cost about four times less than daily skilled nursing facility services and 40 times less than acute-care inpatient services, THEMA’s hospice offering delivers significant institutional cost-saving benefits, while also maximizing quality of life with compassionate, accessible care. We are excited to work with the Company’s experienced management team and dedicated support staff, who have fostered a quality-driven clinical culture with a purposeful sense of community.”

With more than 15 years driving the growth of THEMA alongside Ms. Lungwitz, Diane Tryggestad will serve as President in the Company’s efforts to expand access to care through continued organic growth and targeted acquisitions.

Ms. Lungwitz noted, “I am pleased to bring in such an experienced, healthcare-focused partner to help THEMA reach new goals in the next phase of its growth, while being a thoughtful custodian of our history of quality care and compassion for the communities we serve. Pharos’s proven track record and significant resources will be invaluable as THEMA seeks to serve more communities as well as expand its hospice and post-acute care service offerings in rural markets.”

This marks the second investment from Pharos’s latest flagship fund, Pharos Capital Partners IV, L.P., investing alongside its parallel fund, Pharos Capital Partners IV-A, L.P., a licensed Rural Business Investment Company. The funds will continue Pharos’s mission of lowering costs, improving outcomes, and expanding access to care, particularly within underserved urban and rural communities.

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About THEMA Health Services

THEMA ( provides hospice, skilled home health, and palliative care services throughout Arizona. As a state-licensed, Medicare-certified agency, THEMA is able to provide a wide variety of in-home care services that can help patients manage virtually any condition, including diabetes, congestive heart failure, gastrointestinal diseases, stroke, hypertension, and neurological disorders. Hospice services include routine medical care, pain & symptom management, and emotional and spiritual support for patients and loved ones. Home health and palliative services include wound care, medication management, disease management, rehabilitation nursing and therapy, and general health and wellness services. A large proportion of its patients are in rural, underserved markets within central and northern Arizona, allowing the company to support providers and offer services in areas that would otherwise go unserved.

About Pharos Capital Group

Based in Dallas and Nashville, Pharos Capital Group ( is physician-founded investment firm focused on growing healthcare companies that aim to lower the total cost of care, improve patient outcomes and expand access to care in underserved markets. Since inception, Pharos has invested in 55 companies and has over $1.3 billion of private equity assets under management as of June 30, 2021. Pharos typically invests $25-$50 million in rapidly growing middle market companies seeking later stage funding for internal growth, acquisitions, leveraged buyouts, management buyouts, or recapitalizations predominantly across healthcare sectors.