Frontier CEO and investors buy Frontier Behavioral Health and ARC interests, form new company

Randy Hunter and a Kentucky investment group have acquired the interests of Frontier Behavioral Health and Addiction Recovery Care and are combining the two organizations into a new behavioral health company. The deal, announced in Ashland, Ky., is expected to strengthen addiction treatment operations across Kentucky over the next six to 12 months.

Why it matters: - The combined organization will control a larger addiction treatment network in Kentucky at a time when Appalachia still faces persistent demand for behavioral health and substance use services. - The transaction is intended to provide financial stability, continued patient care investment and long-term operational support. - The new company will serve about 755 people across 13 Kentucky locations and employ about 640 professionals.

What happened: - Randy Hunter and a Kentucky-based investment group signed agreements to purchase the interests of Frontier Behavioral Health and Addiction Recovery Care, or ARC. - The two organizations will be combined into a new company. - Hunter, who has led Frontier as CEO since 2020, will be CEO of the combined company. - The announcement was made Aug. 6, 2026, in Ashland, Ky. - The new company name will be announced in the coming weeks.

The details: - The new company will be governed by a newly established board of directors made up primarily of Kentucky leaders and investors. - The board has secured the financial resources needed to support ongoing operations, continued investment in patient care and long-term organizational stability. - Full integration of Frontier and ARC is expected to take six to 12 months. - During the integration period, Frontier and ARC will continue operating under their own names. - The combined company’s executive team will lead both organizations through the transition. - Frontier’s leadership team will remain in place. - Cassandra Webb will remain president and chief operating officer of ARC. - Hunter said ARC’s leadership team will expand to include additional professionals in clinical care, behavioral health, operations, finance, compliance and administration. - The expanded leadership team will focus on organizational performance and access to treatment services across Kentucky.

Between the lines: - Hunter’s background spans behavioral healthcare leadership, plus prior service with the Kentucky State Police and the Kentucky Attorney General’s Medicaid Fraud Control Unit. - The deal appears designed to keep leadership and governance close to Kentucky, with local leaders and investors holding primary board control. - The combination also signals a push for a larger, more tightly managed platform in a sector where provider stability can affect continuity of care. - Hunter framed the move as a response to Kentucky’s need for stronger addiction treatment and behavioral healthcare.

What's next: - The companies will continue operating separately while integration work proceeds over the next six to 12 months. - A new name for the combined organization will be announced in the coming weeks. - ARC is expected to add more senior leaders as the organization expands its management structure. - The new company will focus on maintaining services while improving long-term performance and access to care.

The bottom line: - Frontier and ARC are being folded into a larger Kentucky-led behavioral health platform, with Hunter at the helm and a stated goal of stabilizing and expanding addiction treatment services across the state.