Northeast Recovery LLC Announces Acquisition of Collateral from Ark National Holdings LLC Pursuant to UCC 9-620

QUINCY, Mass., Oct. 17, 2025 /PRNewswire/ -- Northeast Recovery LLC ("Northeast Recovery") today announced that it has completed a debt-for-assets transaction with Ark National Holdings LLC ("Ark Behavioral Health"), a leading provider of clinical, medical, and psychiatric care for substance use, mental health, and co-occurring disorders in Massachusetts. Pursuant to the transaction, consummated pursuant to Section 9-620 of the Uniform Commercial Code, Northeast Recovery as senior secured lender to Ark Behavioral Health, accepted collateral in satisfaction of secured obligations owed to it from Ark Behavioral Health and its affiliates. The transaction resolves longstanding issues with Ark Behavioral Health and its affiliates' senior secured creditors.

Northeast Recovery through its newly acquired operational subsidiaries, Bedrock Rehab LLC and Ashby Behavioral Health LLC, will continue to provide best-in-class behavioral care through its Bedrock Recovery Center ("Bedrock") and Spring Hill Recovery Centers ("Spring Hill").  The closing of the transaction will serve to enhance operational focus at Bedrock and Spring Hill and support Northeast Recovery's strategic growth initiatives.

"This structured outcome preserves all employee positions, streamlines the balance sheet and aligns resources around Northeast Recovery's highest-potential opportunities," said Jane Bombardier, Chief Executive Officer of Northeast Recovery. "By consolidating key assets and simplifying the capital structure, Northeast Recovery is positioned to continue its commitment to be a first-in-class organization where patients receive the highest level of care."

"We are excited about the future," said Saman Shams, a principal of Northeast Recovery. "This transaction strengthens our platform and positions us to become one of the nation's leading behavioral health providers. The need for institutional-quality, scalable behavioral health platforms will continue to accelerate for the foreseeable future, and we are positioning ourselves to meet that demand through disciplined growth and innovation. In addition to expanding our services into comprehensive mental health and related areas, technological innovation is also a key area of focus for Northeast Recovery — enabling us to enhance clinical outcomes, streamline operations, and build a truly modern behavioral health platform."

Hugh Eaton IV, also a principal at Northeast Recovery, added, "Our number one priority at Northeast Recovery is to ensure that each and every client we treat receives the best possible care to meet their individual needs to ensure the highest probably of recovery. We see behavioral health as a critical part of the healthcare infrastructure system. This transaction strengthens that infrastructure and offers a pathway to improving behavioral healthcare outcomes through Northeast Recovery."

About Northeast Recovery
Northeast Recovery is a new venture in the behavioral health and recovery space. Its principals include Saman Shams and Hugh Eaton IV, cofounders of Altitude Recovery Community (https://altituderecovery.com/)—a leader in addiction rehabilitation in Southern California.

SOURCE Northeast Recovery