WEST PALM BEACH, Fla., Jan. 05, 2022 (GLOBE NEWSWIRE) — AFC Gamma, Inc. (Nasdaq: AFCG), a commercial real estate finance company that provides loans to operators in the cannabis industry, today announced the pricing of its underwritten public offering of 3,000,000 shares of its common stock at a public offering price of $20.50 per share. AFC Gamma has granted the underwriters of the Offering a 30-day option to purchase up to an additional 450,000 shares of common stock.
AFC Gamma anticipates total gross proceeds of $61.5 million, before deducting underwriting discounts and commissions and other offering expenses and excluding any exercise of the underwriters’ option to purchase additional shares. AFC Gamma intends to use the net proceeds from the Offering to fund loans related to unfunded commitments to its existing borrowers, to originate and participate in commercial loans to companies operating in the cannabis industry that are consistent with its investment strategy, and for working capital and other general corporate purposes. The Offering is expected to close on or about January 10, 2022, subject to the satisfaction of customary closing conditions.
Jefferies, Cowen and JMP Securities are acting as lead bookrunners for the Offering, with EF Hutton, division of Benchmark Investments, LLC, and Seaport Global Securities acting as joint bookrunners.
About AFC Gamma
AFC Gamma is a commercial real estate finance company that provides a range of lending solutions to established operators in the cannabis industry. AFC Gamma originates, structures and underwrites senior secured loans and other types of loan solutions in states that have legalized medicinal and/or adult use cannabis. AFC Gamma has elected and intends to continue to qualify to be taxed as a real estate investment trust, commencing with its taxable year ended December 31, 2020.
