Stake Purchase • Healthcare Services

Pharos Capital Group and Metalmark Capital Invest In LifeTrust America

On November 1, 1996, private equity firms Pharos Capital Group and Metalmark Capital invested in healthcare services company LifeTrust America

Investment Context
  • This is Pharos Capital Group’s 1st and Metalmark Capital’s 1st transaction in the Healthcare Services sector.
  • This is Pharos Capital Group’s 1st and Metalmark Capital’s 15th transaction in the United States.
  • This is Pharos Capital Group’s 1st and Metalmark Capital’s 1st transaction in Tennessee.
Investment Fate
  • LifeTrust America was sold to a publicly-traded strategic buyer in 2004 for 211M USD.

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Investment Summary

Date November 1, 1996
Target LifeTrust America
Sector Healthcare Services
Investor(s) Pharos Capital Group
Metalmark Capital
Deal Type Stake Purchase

Target Company

LifeTrust America

Nashville, Tennessee, United States
LifeTrust America is a senior living operating company, which owns, leases and operates 47 assisted living communities with 2,636 units which offer independent living apartments and assisted living accommodations, including specialized care for Alzheimer residents, throughout the Southeast. In addition, LTA manages 12 assisted living facilities for third- party owners.
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Investors Overview 2

Investor

Pharos Capital Group

Dallas, Texas, United States

Investor Investor Investor Investor Investor


Category Private Equity Firm
Founded 1998
PE ASSETS 1.0B USD
Size Middle-Market
Type Sector Focused
DESCRIPTION

Pharos Capital Group is a private equity firm that provides later-stage equity funding to companies at or near cash-flow break even. Investment funds are typically used to support growth, acquisitions, management buyouts, or recapitalization. Pharos looks to commit $20 to $50 million per transaction. Target sectors include healthcare, business services, and technology. Pharos prefers US-based opportunities. Pharos Capital Group was formed in 1998 and is based in Dallas, Texas.


Deal Context for Investor #
Overall 1 of 39
Sector: Healthcare Services 1 of 15
Type: Stake Purchase 1 of 2
State: Tennessee 1 of 10
Country: United States 1 of 38
Year: 1996 1 of 1
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
1999-01-01 StreamServe

Burlington, Massachusetts, United States

StreamServe, Inc. is a provider of enterprise content management solutions for banking, supply chain, insurance, and utilities industries.

Buy -
Investor

Metalmark Capital

New York, New York, United States

Category Private Equity Firm
Founded 2004
PE ASSETS 8.0B USD
Size Mega
Type Sector Agnostic
DESCRIPTION

Metalmark Capital is an independent private equity group focused on large company transactions in a wide range of industries. Metalmark is a hands-on investment firm looking to build long-term value in its portfolio companies. Broad areas of interest include natural resources/energy, healthcare services, industrials, food, transportation, and financial services. Metalmark was established in 2004 by the former principals of Morgan Stanley Capital Partners to manage the Metalmark Capital and Morgan Stanley Capital Partners funds. Metalmark is based in New York City.


Deal Context for Investor #
Overall 16 of 60
Sector: Healthcare Services 1 of 5
Type: Stake Purchase 13 of 20
State: Tennessee 1 of 3
Country: United States 15 of 56
Year: 1996 1 of 1
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
1996-03-01 CSG

Englewood, Colorado, United States

CSG provides software and services that support customer experience management, billing, payments, and digital engagement for communication service providers and enterprises. The Company’s platforms enable functions such as revenue management, partner management, and omnichannel customer interactions across telecommunications, media, and other industries. CSG was founded in 1982 and is headquartered in Englewood, Colorado.

Sell -
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
1997-06-06 Highlands Gas Companies

Englewood, Colorado, United States

Highlands Gas Companies engaged in natural gas gathering, processing, transportation and marketing as well as natural gas liquids (NGL) transportation and marketing.

Sell $180M