Medallion Financial Corp. announced that it has entered into a note purchase agreement for a private placement with the principal amount of $5 million on June 25, 2024. The transaction will include participation from an institutional investor.

The company has issued unsecured unsubordinated senior promissory notes in the transaction. The note carries a 8.875% interest rate per annum. The note will mature on June 30, 2039.

The interest payments on the notes are payable semiannually on June 30 and December 30 of each year, commencing on June 30, 2024.