Advanced Flower Capital Expands Revolving Credit Facility with $20 Million Additional Commitment from Existing FDIC-Insured Banking Partner

Rhea-AI Summary

Advanced Flower Capital (AFCG) has expanded its senior secured revolving credit facility by $20 million to reach $50 million total, through an additional commitment from its Lead Arranger, an FDIC-insured bank managing over $75 billion in assets. The facility can be further expanded to $100 million, subject to lender participation and borrowing base availability. The company plans to use the facility to fund existing borrower commitments, originate new cannabis operator loans, and support working capital needs. This expansion represents a strengthening of AFC's lending platform and financing strategy.

Positive

• Secured $20 million additional credit facility commitment, expanding total facility to $50 million
• Partnership with major FDIC-insured bank ($75B+ in assets) demonstrates institutional credibility
• Potential for further expansion to $100 million shows growth runway
• Enhanced ability to fund existing commitments and originate new cannabis operator loans

Negative

• None.

WEST PALM BEACH, Fla., June 09, 2025 (GLOBE NEWSWIRE) -- Advanced Flower Capital Inc. (Nasdaq: AFCG) (“AFC”) today announced that it has expanded its senior secured revolving credit facility (“Credit Facility”) to $50 million with an additional $20 million commitment from the facility’s Lead Arranger, an FDIC-insured bank with over $75 billion of assets. AFC intends to use availability under the Credit Facility to fund commitments to existing borrowers, originate and participate in commercial loans to cannabis operators in line with its investment strategy, and support working capital and other general corporate purposes. The facility remains expandable to $100 million, subject to lender participation and available borrowing base.

“This expanded commitment from a long-standing banking partner underscores the strength of our platform and strategy. This facility remains a core component of our financing approach, and we look forward to further strengthening this partnership as we scale our lending capabilities,” said Brandon Hetzel, AFC’s Chief Financial Officer.

About Advanced Flower Capital Inc.

Advanced Flower Capital Inc. (Nasdaq: AFCG) is a leading commercial mortgage REIT that provides institutional loans to state law compliant cannabis operators in the U.S. Through the management team’s deep network and significant credit and cannabis expertise, AFC originates, structures and underwrites loans ranging from $10 million to over $100 million, typically secured by quality real estate assets, license value and cash flows. It is based in West Palm Beach, Florida. For additional information regarding the Company, please visit advancedflowercapital.com.

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. All statements, other than historical facts, are forward-looking statements. 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 regarding the anticipated use of the Credit Facility 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 actively manage our loan portfolio, and implement our investment strategy, the demand for cannabis cultivation and processing facilities and dispensaries, management’s current estimates of expected credit losses and current expected credit loss reserves, and other factors, could cause actual results and performance to differ materially from those projected in these forward-looking statements. More information on these risks and other potential factors that could affect our business and financial results is included in AFC’s filings with the SEC, including in the “Risk Factors” and “Management’s Discussion and Analysis of Financial Condition and Results of Operations” sections of AFC’s most recently filed Annual Report on Form 10-K and subsequent filings. New risks and uncertainties arise over time, and it is not possible to predict those events or how they may affect AFC. We do not undertake any obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law.

Investor Relations Contact

Robyn Tannenbaum
561-510-2293
ir@advancedflowercapital.com

FAQ

What is the new size of AFCG's revolving credit facility after the expansion?

AFCG's revolving credit facility has been expanded to $50 million, following a $20 million additional commitment from its existing banking partner.

Who provided the additional $20 million commitment to AFCG's credit facility?

The additional commitment was provided by the facility's Lead Arranger, an FDIC-insured bank with over $75 billion in assets.

What will AFCG use the expanded credit facility for?

AFCG will use the facility to fund commitments to existing borrowers, originate new cannabis operator loans, and support working capital and general corporate purposes.

What is the maximum potential size of AFCG's credit facility?

The credit facility is expandable to $100 million, subject to lender participation and available borrowing base.