Two federally insured banks have given marijuana industry lender AFC Gamma secured revolving credit worth at least $60 million.
The Florida-based company did not identify the banks in a Monday morning news release, but said they have combined assets of more than $70 billion.
The company can increase the size of the senior secured revolving credit facility to $100 million.
It said it plans to use the capital to bankroll unfunded loans to existing borrowers as well as to make new loans and 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.