BPE Deal Tracker: Physician-Led PE Firm Purchases Majority Stake in Medical Device Manufacturer

January 30, 2024

Pharos Capital Group announced on Jan. 4, 2024, that it has acquired a majority stake in RhythMedix, a leading manufacturer and provider of remote cardiac monitoring systems and related services.

RhythMedix was founded in 2013, and through its focus on improving the remote cardiac monitoring experience for patients and clinicians, developed the first wearable electrocardiogram monitor with built-in 4G cellular connection. With the support of Pharos Capital Group, RhythMedix expects to increase research and development efforts and make several more acquisitions with a focus on becoming an industry stalwart in the remote patient monitoring market. This acquisition of RhythMedix evidences Pharos Capital Group’s continued commitment to promoting value-based care by lowering costs, improving outcomes and expanding access within underserved communities.

Pharos Capital Group, headquartered in Dallas, Texas, is a Black physician-founded private equity firm led by Kneeland Youngblood. It focuses on investing in rapidly growing middle-market healthcare companies seeking later-stage funding for internal growth, acquisitions, leveraged buyouts, management buyouts or recapitalizations. Since its inception, Pharos has invested in approximately 58 companies and has over $1 billion in assets under management.

RhythMedix, headquartered in Mt. Laurel, New Jersey, is a medical device manufacturer and wireless medical technology company providing innovative technology to transform the cardiac monitoring industry and improve patient outcomes.

Terms of the acquisition were not disclosed.

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