AFC Gamma, Inc. (“AFC Gamma” or the “company”) (Nasdaq: AFCG), a commercial real estate finance company that provides loans to operators in the cannabis industry, today announced certain business updates relating to its quarter and year ended December 31, 2021.
Funding Update
Based on the strength of its origination and underwriting teams and its market reputation, AFC Gamma was able to evaluate a wide universe of potential investment opportunities with anticipated attractive risk-adjusted returns. Advancing its position as a leading cannabis lender, AFC Gamma is pleased to announce that for the quarter ended December 31, 2021, the company’s gross funding was $125.6 million and its net funding, taking into account loan repayments and amortization, was $120.6 million. In total, AFC Gamma closed on total new commitments of $127.3 million during the quarter.
For the year ended December 31, 2021, AFC Gamma’s gross funding was $302.5 million and its net funding, taking into account loan repayments and amortization, was $275.5 million. In total, AFC Gamma closed on total new commitments of $341.3 million during the twelve months ended December 31, 2021.
All of AFC Gamma’s investments are current with no loans on non-accrual.
Debt Offering & Investment Grade Rating
A differentiator for AFC Gamma is cost of capital as a NASDAQ-listed public entity and access to both public and private debt and equity markets. During the quarter ended December 31, 2021, AFC Gamma was pleased to have received an increase in its credit rating from Egan-Jones, moving to a triple B plus (BBB+) investment grade rating. Additionally, leveraging its investment grade rating, AFC Gamma closed on a $100 million unsecured notes offering during the quarter with a fixed cash interest rate of 5.750%, due in 2027.
