In February 2023, Charter Healthcare, a hospice and home health provider owned by Pharos Capital, filed for Chapter 7 bankruptcy without making a public announcement. The petition was filed in the Federal District Court of Delaware at the end of January, as per documents obtained by Hospice News. Public records indicate Chapter 7 filings for Charter locations in at least eight states across the company’s footprint, with its headquarters based in California.
Liquidation under Chapter 7 is available for individuals or businesses unable to make regular payments towards their debts or choosing to terminate their operations. A court-appointed trustee manages the conversion of assets into cash for distribution among creditors. According to court filings, Charter’s total liabilities to creditors amount to almost $37 million.
Charter served nearly 13,000 patients by offering hospice, home health, complex care management, and palliative care services under various brand names at the time of the bankruptcy filing in February 2023. Despite this development, Charter was actively acquiring hospice and home health companies as of 2021. In April of that year, the company purchased The Providence Hospice and The Providence Home Health Services Inc. in Texas for an undisclosed amount.
Pharos Capital did not respond to inquiries from Hospice News regarding the bankruptcy filing or Charter’s current status. Additionally, Charter’s attorney named in court documents did not provide any replies either. The filings also mention Cheryl Lovell as CEO of Charter Healthcare early last year but it is unclear if she is still associated with the company as her LinkedIn page no longer lists her position there as of January 2023
