Originates $2.9 million first lien-secured loan on key cultivation facility in limited license, adult-use market
GOLDEN, Colo., June 22, 2023 (GLOBE NEWSWIRE) -- SHF Holdings, Inc., d/b/a/ Safe Harbor Financial (“Safe Harbor” or the “Company”) ( SHFS), a leader in facilitating banking, payments, and financial services to the regulated cannabis industry, today announced that it has expanded its lending and deposit relationship with a tier-one multistate operator (“MSO”) through the origination of an additional first lien-secured loan in the approximate amount of $2.9 million on a cultivation facility located in a limited license, adult-use cannabis state.
“In an environment where other lenders are scaling back, the expansion of Safe Harbor’s relationship with this MSO demonstrates the acceleration of our new origination and placement activities and our continued support of the cannabis industry’s growth,” said Sundie Seefried, Chief Executive Officer at Safe Harbor. “In addition to originating this new loan on a key cultivation property, we are proud to open deposit accounts for this top-performing MSO’s operating entities in this key market and to deepen our service relationship.”
As previously announced, the Company originated four commercial real estate-backed loans for subsidiaries of a tier-one MSO. The loans were an approximate amount of $5.5 million in aggregate and are secured by a first deed of trust on four retail dispensary locations in a key limited-license state. The current loan is in accordance with the same lending commitment as previous loans provided to the MSO, offering the same market-leading terms–including a fixed interest rate, five-year term and a 25-year amortization period–for permanent financing of the MSO’s critical assets. The terms of the original commitment provide for the potential financing of up to nine of the MSO’s additional properties across several states.
About Safe Harbor
Safe Harbor is among the first service providers to offer compliance, monitoring and validation services to financial institutions, providing traditional banking services to cannabis, hemp, CBD, and ancillary operators, making communities safer, driving growth in local economies, and fostering long-term partnerships. Currently managing approximately 1000 cannabis-related relationships, Safe Harbor, through its financial institution clients, implements high standards of accountability, transparency, monitoring, reporting and risk mitigation measures while meeting Bank Secrecy Act obligations in line with FinCEN guidance on cannabis-related businesses. Over the past eight years, Safe Harbor has facilitated more than $18 billion in deposit transactions for businesses with operations spanning over 40 states and US territories with regulated cannabis markets. For more information, visit www.shfinancial.org.
Certain statements contained in this press release constitute "forward-looking statements'' within the meaning of federal securities laws. Forward-looking statements may include, but are not limited to, statements with respect to trends in the cannabis industry, including proposed changes in U.S and state laws, rules, regulations and guidance relating to Safe Harbor's services; Safe Harbor's growth prospects and Safe Harbor's market size; Safe Harbor's projected financial and operational performance, including relative to its competitors; Safe Harbor’s ability to originate and service the referenced additional loans; whether similar loans, or loans at similar rates would be offered in the future; new product and service offerings Safe Harbor may introduce in the future; the impact of recent volatility in the capital markets, which may adversely affect the price of the Company's securities; the outcome of any legal proceedings that may be instituted against Safe Harbor; other statements regarding Safe Harbor's expectations, hopes, beliefs, intentions or strategies regarding the future; and the other risk factors discussed in Safe Harbor's filings from time to time with the Securities and Exchange Commission. In addition, any statements that refer to projections, forecasts or other characterizations of future events or circumstances, including any underlying assumptions, are forward-looking statements. The words "anticipate," "believe," "continue," "could," "estimate," "expect," "intends," "outlook," "may," "might," "plan," "possible," "potential," "predict," "project," "should," "would," and similar expressions may identify forward-looking statements, but the absence of these words does not mean that a statement is not forward-looking. Forward-looking statements are predictions, projections and other statements about future events that are based on current expectations and assumptions and, as a result, are subject, are subject to risks and uncertainties. These forward-looking statements involve a number of risks and uncertainties (some of which are beyond the control of Safe Harbor), and other assumptions, that may cause the actual results or performance to be materially different from those expressed or implied by these forward-looking statements.
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Nick Callaio, Marketing Manager
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