Marijuana industry lender AFC Gamma said it secured a revolving credit facility worth at least $60 million from two federally insured banks.
The Florida-based company did not identify the banks in a Monday news release but said they have combined assets of more than $70 billion.
AFC Gamma can increase the size of the senior secured revolving credit facility to $100 million.
The company said it plans to use the capital to bankroll unfunded loans to existing borrowers as well as to make new loans.
It also plans to use the money “for working capital and other general corporate purposes.”
The credit facility matures in April 2025 and carries a floating interest rate of prime plus 0.5%, with a prime floor of 4%.
AFC Gamma said it has terminated a previous revolving credit facility worth $75 million from AFC Finance, described as an affiliate of AFC Gamma CEO Leonard Tannenbaum.
Are you a social equity cannabis license holder or applicant?
The MJBizCon team is now accepting 2023 Social Equity Scholarship Program applications.
The mission of this program is to provide social equity cannabis license holders or applicants access to the #1 global cannabis industry conference + tradeshow in Las Vegas.
Who can apply?
- Students currently enrolled in a cannabis-related program at an accredited university or college.
- Cannabis executives at licensed social equity cultivation, extraction/processing, retail, manufacturing/brand businesses (or awaiting application approval).
Don’t miss out on this potentially life-changing opportunity.
Apply to attend MJBizCon today – The application period will close on July 24!
AFC Gamma shares trade on the Nasdaq exchange as AFCG.