AFC Gamma, a newly-formed commercial mortgage REIT focused on the cannabis industry, raised $119 million by offering 6.3 million shares at $19, as expected. The company was expected to price last month, but delayed its offering.
Formed by Advanced Flower Capital, AFC Gamma originates, structures, underwrites, and manages senior secured loans and other types of loans for established companies operating in the cannabis industry in states that have legalized medicinal and/or adult use cannabis. Its loans are primarily secured by real property and certain personal property, including licenses, equipment, and other assets.
AFC Gamma plans to list on the Nasdaq under the symbol AFCG. JMP Securities, Ladenburg Thalmann and Seaport Global acted as lead managers on the deal.
