Recovery Centers of America Raises Additional $100 Million to Help 23 Million Americans Battling Addiction

Deerfield Management Company’s new capital commitment increases RCA’s
total funds raised to $331.5 million

KING OF PRUSSIA, Pa.–(BUSINESS WIRE)–#addicition–Today, Recovery
Centers of America
(RCA) announced it has raised an additional $100
million from Deerfield
Management Company
, the New York-based health care investment firm
with more than $6 billion under management. This new funding commitment
increases the total capital available to RCA to $331.5 million. The original
$231.5 million commitment to RCA
was one of the largest health care
investments of 2015.

“We are extremely pleased by Deerfield’s continued commitment to help
RCA realize its extraordinary vision of bringing campuses for addiction
treatment and recovery to communities throughout the Northeast,” says
Deni Carise, Chief Clinical Officer of RCA. “Over 23 million Americans
battle addiction. It’s destroying individuals, tearing apart families,
and devastating communities. We are in the midst of a national epidemic.
In response, RCA is building a national network of neighborhood-based,
five-star treatment facilities to combat the problem – this funding will
help the company achieve its goal.”

The new funding comes on the heels of RCA’s
third facility opening
. In March, RCA opened Lighthouse in Mays
Landing, New Jersey, which is currently at capacity, with plans to
double its bed count. Bracebridge Hall, a converted Georgian mansion
that sits on 550 acres overlooking the Sassafras River on Maryland’s
Eastern Shore, opened in mid-October, and Westminster, a 90-bed
addiction treatment center in Massachusetts, opened in late October 2016.

Reinventing an Industry

Much of RCA’s success is due to its willingness to re-envision treatment
and recovery. RCA is employing patient-centric principles to an industry
struggling to keep up with the national crisis of drug and alcohol
addiction.

These patients are suffering from a disease heavily impacted by stigma
and don’t always get treated with the dignity they deserve. RCA believes
that proven-effective, evidence-based treatment, combined with a
world-class patient experience, is a winning formula.

The RCA team is driven by a culture that challenges every employee to
question the rules-driven world of treatment and rework all of their
processes with each patient’s success and recovery in mind. The RCA team
is comprised of clinicians, scientists, researchers, hospital operators,
financial experts, and policy makers. RCA has assembled an advisory
board drawn from some of the most respected institutions in the world
including Penn, Columbia, Harvard, Yale, UCLA, Dartmouth, and VCU to
guide its management team.

“RCA shares Deerfield’s goal of creating and supporting businesses that
can transform health care, by delivering more effective and affordable
patient outcomes through innovative care models,” says Leslie Henshaw, a
partner at Deerfield. “RCA is well on the road to uprooting conventional
recovery treatments with bold new approaches designed to save lives and
stem the epidemic of addiction afflicting our country.”

RCA: Making Treatment Easy, Accessible, and Affordable

RCA is building world-class neighborhood treatment facilities that
provide quality care in programs that are accessible and affordable for
patients and their families. Unlike traditional fly-away treatment
programs where patients leave their family and friends and are isolated
in California or Florida, RCA locates its centers directly in the
community. There, patients are taught to deal with the realities of
family and friends, and develop long-standing local relationships that
support their recovery. Local proximity is less expensive for families
and insurance companies, and allows for increased success in treatment
as families and loved ones are able to participate fully in treatment
and visit and support their loved ones.

Taking the Stigma Out of Addiction

RCA is committed to respecting all patients regardless of their
circumstances. To overcome the stigma of addiction, RCA has
revolutionized the way treatment is delivered and how treatment centers
are designed and operated. For instance, in Maryland, RCA converted a
40,000-square foot David Easton-designed country mansion into a
magnificent treatment facility. Once owned by MBNA Bank as a corporate
retreat for executives, the property sits in one of the most exclusive
estates on Maryland’s Eastern Shore within easy driving distances from
Baltimore, Wilmington, and Washington, D.C.

At Bracebridge Hall, RCA has assembled the leading doctors and
clinicians in the Mid-Atlantic Region. The Bracebridge Hall team
specializes in treating alcohol, heroin and opioid addiction, and
co-occurring disorders. The inside of the facility is outfitted with
detailed molding, columns, hand-carved fireplaces, marble floors, and
artwork, all of which was acquired with the facility. An executive chef
prepares farm-to-table dining, and patients have access to trained staff
for fitness, yoga, and acupuncture services, in addition to traditional
groups and individual therapy sessions. There is a beautiful
30-foot-wide circular table in a custom-built room to house AA, NA,
group meetings, dinners, and lunches. Bracebridge Hall combines the
finest clinical care with five-star luxury accommodations.

It’s all with purpose.

“Our patients come to us at their lowest points, their self-esteem
depleted, with feelings of guilt, disappointed in themselves, and
feeling hopeless due to their disease,” explains Carise. “When they see
our centers and meet our staff, they receive a strong message: You are
worthwhile, and you have the right to expect more out of your life.
Lasting recovery is possible.”

Future Plans

The incremental capital commitment will be used to build additional RCA
treatment centers in the Philadelphia, South Jersey, Boston, and the
Greater Mid-Atlantic Region.

For more information about Recovery Centers of America, visit www.recoverycentersofamerica.com
or call 1-800-RECOVERY

About Recovery Centers of America

Based in King of Prussia, PA, Recovery Centers of America is committed
to advocating for the 23 million Americans suffering from substance use
disorders. The company, which is opening treatment centers throughout
the Northeast, is transforming the way treatment is delivered in an
industry in desperate need of change. Recovery Centers of America’s
neighborhood-based centers for addiction medicine are designed based on
the latest scientific research that indicates sustained recovery is more
likely when patients stay connected to and supported by family and
friends while building other, ongoing support networks. By allowing
patients to receive treatment in a world class atmosphere, Recovery
Centers of America helps overcome the stigma of addiction and its
treatment. For more information about Recovery Centers of America, visit www.recoverycentersofamerica.com
or call 1-800-RECOVERY now.

About Deerfield Management Company

Deerfield is an investment management firm committed to advancing
healthcare through investment, information, and philanthropy. For more
information, please visit www.deerfield.com.

Contacts

Company
Recovery Centers of America
Mary Raleigh,
708-856-9734
Vice President of Business Development
mraleigh@recoverycoa.com
or
Media
Gregory
FCA
Katie Kennedy, 610-228-2128
Vice President
katiek@gregoryfca.com