AFC Gamma Secures $100M Credit Facility

TL;DR

AFC Gamma just got a $100M credit line to fuel more deals.

AI Summary

AFC Gamma, Inc. announced on July 2, 2024, that it has entered into a new credit facility agreement. This facility provides AFC Gamma with up to $100 million in borrowing capacity, which can be used for general corporate purposes and to fund future investments. The agreement is a significant step in strengthening the company's financial flexibility.

Why It Matters

This new credit facility enhances AFC Gamma's ability to pursue growth opportunities and manage its capital effectively, potentially leading to increased investment in its portfolio.

Risk Assessment

Risk Level: medium — While the credit facility provides financial flexibility, the terms and conditions, including interest rates and repayment obligations, carry inherent financial risks.

Key Numbers

• $100M — Credit Facility Capacity (Provides significant borrowing power for future investments and general corporate needs.)

Key Players & Entities

• AFC Gamma, Inc. (company) — Registrant
• $100 million (dollar_amount) — New credit facility borrowing capacity
• July 2, 2024 (date) — Date of earliest event reported

FAQ

Key Financial Figures

• $0.01 — ich registered Common Stock, par value $0.01 per share AFCG The Nasdaq Stock Market
• $0.15 — FC Gamma declared a special dividend of $0.15 per outstanding share of AFC Gamma comm

Filing Documents

• afcg-20240702.htm (8-K) — 34KB
• exhibit991a6-8xk.htm (EX-99.1) — 1641KB
• afcg-20240702_g1.jpg (GRAPHIC) — 345KB
• afcgammalogo1aa.jpg (GRAPHIC) — 47KB
• business1ia.jpg (GRAPHIC) — 1571KB
• business2da.jpg (GRAPHIC) — 313KB
• managementcomp1aa.jpg (GRAPHIC) — 29KB
• sunriselogoa.jpg (GRAPHIC) — 605KB
• 0001628280-24-031187.txt ( ) — 6201KB
• afcg-20240702.xsd (EX-101.SCH) — 2KB
• afcg-20240702_lab.xml (EX-101.LAB) — 23KB
• afcg-20240702_pre.xml (EX-101.PRE) — 13KB
• afcg-20240702_htm.xml (XML) — 3KB

01 Regulation FD Disclosure

Item 7.01 Regulation FD Disclosure. Information Statement Sunrise Realty Trust, Inc., a Maryland corporation ("SUNS"), previously filed a Registration Statement on Form 10, initially publicly filed on February 22, 2024 (as amended, the "Registration Statement") with the U.S. Securities and Exchange Commission (the "SEC") in connection with the previously announced separation and spin-off (the "Spin-Off") of the commercial real estate ("CRE") portfolio of AFC Gamma, Inc. ("AFC Gamma" or the "Company") into an independent, publicly-traded REIT, SUNS, and the distribution by AFC Gamma of all of the outstanding shares of SUNS to AFC Gamma stockholders of record as of the Record Date (defined below). The Registration Statement was declared effective by the SEC on July 2, 2024 and includes a preliminary information statement that describes the distribution and provides important information regarding SUNS' business and management. The final information statement, dated July 3, 2024 (the "Information Statement"), is attached hereto as Exhibit 99.1. The Company will mail the notice of availability of the Information Statement to its stockholders of record as of the close of business on July 8, 2024, the record date for the distribution (the "Record Date"). The information furnished pursuant to this Item 7.01, including Exhibit 99.1, shall not be deemed "filed" for purposes of Section 18 of the Securities Exchange Act of 1934 (the "Exchange Act") or otherwise subject to the liabilities under that Section and shall not be deemed to be incorporated by reference into any filing of the company under the Securities Act of 1933 (the "Securities Act") or the Exchange Act, except as shall be expressly set forth by specific reference in such filing. Nasdaq Trading There is currently no public market for SUNS common Stock. We expect SUNS common stock to trade on the Nasdaq Capital Market under the symbol "SUNS" on July 9, 2024. If the Spin-Off is complete on July 9, 2024, trading

01 Other Events

Item 8.01 Other Events. On June 27, 2024, the AFC Gamma issued a press release announcing the close of business on July 8, 2024 as the record date for the Spin-Off. Holders of AFC Gamma common stock as of the Record Date will receive one share of new SUNS common stock for every three shares of AFC Gamma common stock held. AFC Gamma will not issue fractional shares of its common stock in the distribution. Instead, holders of AFC Gamma common stock will receive cash in lieu of any fractional shares that they would otherwise be entitled to. The distribution is expected to occur prior to the opening of trading on July 9, 2024, and shares of SUNS common stock are expected to begin trading on Nasdaq under the symbol "SUNS". The Spin-Off is subject to satisfaction or waiver of certain conditions, as more fully described in the Registration Statement. In connection with the Spin-Off, the Board of Directors of AFC Gamma declared a special dividend of $0.15 per outstanding share of AFC Gamma common stock, payable on July 15, 2024 to AFC Gamma common stockholders of record as of the Record Date. 2 Cautionary Statement Regarding Forward Looking Statements This release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 that reflect our current views and projections with respect to, among other things, future events and financial performance. Words such as "believes," "expects," "will," "intends," "plans," "guidance," "estimates," "projects," "anticipates," and "future" or similar expressions are intended to identify forward-looking statements. These forward-looking statements, including statements about our future growth and strategies for such growth, are subject to the inherent uncertainties in predicting future results and conditions and are not guarantees of future performance, conditions or results. Certain factors, including the ability of our manager to locate suitable loan opportunities for us, monitor and

01 Financial Statements and Exhibits

Item 9.01 Financial Statements and Exhibits (d) The following exhibit is being filed with this report: Exhibit No. Description 99.1 Information Statement of Sunrise Realty Trust, Inc. dated July 3, 2024 104 Cover Page Interactive Data File (embedded within the Inline XBRL document). 3

SIGNATURES

SIGNATURES Pursuant to the requirements of the Securities Exchange Act of 1934, as amended, the Registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized. AFC GAMMA, INC. Date: July 3, 2024 By: /s/ Brandon Hetzel Brandon Hetzel Chief Financial Officer and Treasurer 4

View Full Filing

View this 8-K filing on SEC EDGAR