Mill City Ventures III, Ltd Commits $3M for Twin Cities Senior Care Provider
Mill City Ventures III (NASDAQ:MCVT) has announced a $3 million loan commitment to Coventry Holdings of Minnesota, a Twin Cities-based senior care facility operator. The funding will support Coventry's short-term capital needs while it seeks longer-term expansion capital. The loan carries an annual interest rate exceeding 24% and is considered low-risk by Mill City.
Coventry plans to expand its operations by adding seven facilities over the next couple of years, aiming to reach 25 total locations. Mill City, with over $6M in cash liquidity, continues to pursue lending opportunities in insurance settlements, asset-based loans, real estate backed loans, and equity investments. This commitment builds upon a previous financing arrangement between the two companies.
Mill City Ventures III (NASDAQ:MCVT) ha annunciato un impegno di prestito di 3 milioni di dollari a Coventry Holdings del Minnesota, un operatore di strutture per anziani con sede nelle Twin Cities. Il finanziamento sosterrà le esigenze di capitale a breve termine di Coventry mentre cerca un capitale di espansione a lungo termine. Il prestito ha un tasso di interesse annuale superiore al 24% ed è considerato a basso rischio da Mill City.
Coventry prevede di espandere le proprie operazioni aggiungendo sette strutture nei prossimi due anni, con l’obiettivo di raggiungere un totale di 25 sedi. Mill City, con oltre 6 milioni di dollari in liquidità, continua a cercare opportunità di prestito in insediamenti assicurativi, prestiti garantiti da beni, prestiti garantiti da immobili e investimenti azionari. Questo impegno si basa su un precedente accordo di finanziamento tra le due aziende.
Mill City Ventures III (NASDAQ:MCVT) ha anunciado un compromiso de préstamo de 3 millones de dólares a Coventry Holdings de Minnesota, un operado de instalaciones de atención a personas mayores con sede en las Twin Cities. La financiación apoyará las necesidades de capital a corto plazo de Coventry mientras busca capital de expansión a largo plazo. El préstamo tiene una tasa de interés anual que excede el 24% y es considerado de bajo riesgo por Mill City.
Coventry planea expandir sus operaciones añadiendo siete instalaciones en los próximos dos años, con el objetivo de alcanzar un total de 25 ubicaciones. Mill City, con más de 6 millones de dólares en liquidez, continúa buscando oportunidades de préstamo en acuerdos de seguros, préstamos garantizados por activos, préstamos respaldados por bienes raíces e inversiones de capital. Este compromiso se basa en un acuerdo de financiamiento previo entre las dos empresas.
밀 시티 벤처스 III (NASDAQ:MCVT)는 미네소타주 코번트리 홀딩스에 300만 달러의 대출 약정을 발표했습니다. 코번트리 홀딩스는 트윈 시티에 본사를 둔 노인 돌봄 시설 운영업체입니다. 이번 자금 조달은 코번트리가 장기적인 확장 자본을 모색하는 동안 단기 자본 필요를 지원할 것입니다. 대출은 연리 24%를 초과하는 이자율을 가지고 있습니다 밀 시티에서는 이를 낮은 위험으로 간주하고 있습니다.
코번트리는 향후 2년 이내에 7개의 시설을 추가하여 25개 지역에 도달할 계획입니다. 밀 시티는 600만 달러 이상의 현금 유동성을 보유하고 있으며, 보험 청구, 자산 기반 대출, 부동산 담보 대출 및 주식 투자 분야의 대출 기회를 지속적으로 추구하고 있습니다. 이 약정은 두 회사 간의 이전 자금 조달 계약에 기반하고 있습니다.
Mill City Ventures III (NASDAQ:MCVT) a annoncé un engagement de prêt de 3 millions de dollars envers Coventry Holdings du Minnesota, un opérateur d'établissements de soins pour personnes âgées basé dans les Twin Cities. Ce financement soutiendra les besoins en capital à court terme de Coventry en attendant qu'elle recherche un capital d'expansion à long terme. Le prêt porte un taux d'intérêt annuel supérieur à 24% et est considéré comme peu risqué par Mill City.
Coventry prévoit d'élargir ses opérations en ajoutant sept établissements au cours des deux prochaines années, visant à atteindre un total de 25 emplacements. Mill City, avec plus de 6 millions de dollars en liquidités, continue de rechercher des opportunités de prêt dans les règlements d'assurance, les prêts garantis par des actifs, les prêts immobiliers et les investissements en capital. Cet engagement s'appuie sur un précédent accord de financement entre les deux entreprises.
Mill City Ventures III (NASDAQ:MCVT) hat ein Darlehensengagement von 3 Millionen US-Dollar an Coventry Holdings in Minnesota, einen Betreiber von Seniorenpflegeeinrichtungen mit Sitz in den Twin Cities, bekanntgegeben. Die Finanzierung wird Coventrys kurzfristigen Kapitalbedarf unterstützen, während es nach langfristigem Expansionalkapital sucht. Das Darlehen hat einen jährlichen Zinssatz von über 24% und wird von Mill City als risikoarm eingestuft.
Coventry plant, die eigenen Aktivitäten in den nächsten Jahren um sieben Einrichtungen zu erweitern, mit dem Ziel, insgesamt 25 Standorte zu erreichen. Mill City, mit über 6 Millionen US-Dollar an liquiden Mitteln, setzt weiterhin auf Kreditmöglichkeiten in Versicherungsvereinbarungen, besicherten Krediten, hypothekarisch gesicherten Krediten und Eigenkapitalinvestitionen. Dieses Engagement basiert auf einer vorherigen Finanzierungsvereinbarung zwischen den beiden Unternehmen.
- Secured high-yield loan with 24%+ annual interest rate
- Strong cash position with over $6M in liquidity
- Expanding lending relationship with existing customer
- Low-risk credit assessment for the loan
- None.
Insights
This
The borrower's expansion plans from 18 to 25 senior care facilities demonstrates clear growth potential in the eldercare sector. The bridge financing nature of this loan positions Mill City to potentially benefit from refinancing fees if the borrower secures longer-term capital sooner than expected. Previous lending relationship with Coventry reduces due diligence costs and risk assessment uncertainty.
For a company with a market cap of just
The senior care facility sector presents a compelling growth opportunity, driven by demographic trends and aging population dynamics. The borrower's expansion from 18 to 25 facilities aligns with increasing demand for senior care services in the Twin Cities market. This market typically sees strong occupancy rates and stable cash flows, supporting the loan's risk profile.
Mill City's strategic focus on short-term, high-yield lending in the senior care sector demonstrates market awareness and opportunity identification. The company's ability to execute deals at
MINNEAPOLIS, MN / ACCESSWIRE / January 6, 2025 / Mill City Ventures III, Ltd. (NASDAQ:MCVT), a non-bank lender and specialty finance company, announced today its partial funding commitment of a
"We are pleased to continue our lending relationship with Coventry Holdings of Minnesota, LLC. The commitment is made to allow Coventry to continue working toward their expansion plans of an additional seven facilities over the next couple of years to bring Coventry's total locations to 25," commented Mill City Chief Executive Officer Douglas M. Polinsky. "We have a relationship with Coventry through a previous financing arrangement."
"With over
Mill City has seen a continued robust demand into 2025 for funding opportunities and continues to pursue potential transactions in adjudicated insurance settlements, asset-based loans, real estate backed loans, and equity investment opportunities.
Forward-looking statements in this release are made pursuant to the "safe harbor provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are subject to risks, uncertainties and other factors that could cause actual results to differ materially from the future results expressed or implied by the forward-looking statements, including without limitation continued demand for short-term specialty non-bank loans, the company's ability to continue growing its investment portfolio while receiving attractive returns, increased levels of competition, new products or offerings introduced by competitors, changes in the market rates of loans, and other risks.
About Mill City Ventures III, Ltd.
Founded in 2007, Mill City Ventures III, Ltd., is a short-term non-bank lending and specialty finance company. More information about the company can be obtained at www.sec.gov or www.millcityventures3.com.
About Coventry Holdings of Minnesota, LLC
Coventry Holdings of Minnesota, LLC operates 17 senior care facilities in the Twin Cities. The company offers services including: memory care; hospice care; respite care and spiritual care. More information can be found at www.suitelivingseniorcare.com.
Contact:
Joseph A. Geraci
Chief Financial Officer
jg@millcityventures3.com
612-868-5815
SOURCE: Mill City Ventures III, Ltd.
View the original press release on accesswire.com
FAQ
What is the size and terms of Mill City Ventures' (MCVT) latest loan commitment?
How many facilities does Coventry Holdings plan to add with MCVT's funding?
What is Mill City Ventures' (MCVT) current cash liquidity position?
What types of lending opportunities is MCVT currently pursuing in 2025?
