Flyland Recovery Network, led by co-founder Kyle Robertson who was convicted of fraud in 2014, is seeking to sell eight in-patient facilities across Florida, California, and Ohio in a $500 million deal managed by RBC Capital Markets. Robertson served 13 months in prison for defrauding $14.5 million from over 7,000 victims before launching Flyland in 2021. The transaction involves Stepstone Health Foundation issuing $292.5 million senior bonds and $210.7 million subordinated zero-coupon debt.
At least one investor, Columbia Threadneedle Investments, has declined to participate due to the founder's legal history. The deal structure aims to preserve operational continuity while aligning financial incentives, with Flyland executives continuing to manage the centers for at least 15 years. Revenue has grown to nearly $131 million in 2025 with projections reaching $168 million by 2031.
Source: Bloomberg Markets · Summarized by HeadlinesBriefing