ZimCal Asset Management And Its Affiliates Sends Letter To Stockholders Stating High Executive Compensation Does Not Align With Core Business Performance; Says Stock Price Is Down 20% YTD And Management Continues To Be Rewarded At The Expense Of Stockholders
- Stock price is down 20% YTD and management continues to be rewarded at the expense of stockholders.
- High executive compensation does not align with core business performance.
- ZimCal sends letter to stockholders highlighting egregious compensation.
- Updated "5 Steps to Improvement" white paper to unlock value at Medallion Financial Corp. posted to
ZimCal Asset Management, LLC, and its affiliates BIMIZCI Fund LLC, Warnke Investments LLC and Stephen Hodges (collectively "ZimCal") is one of the largest investors in Medallion Financial Corp. (the "Company" or "MFIN"), has over $15.58 million in debt and equity investment exposure and has been invested in MFIN for over 3 years. ZimCal is currently in a proxy contest to replace two Directors on MFIN's Board of Directors (the "Board") with two more highly qualified individuals. Our common stock and debt are the only investments we have in MFIN and we do not own any other MFIN-related securities (e.g. call/put options). We believe we will prevail in this proxy contest; we believe that stockholders want change and that our nominees are the first step in that direction. ZimCal ONLY benefits through an increase in the value of MFIN and if MFIN can implement the changes ZimCal is recommending, ZimCal believes that the upside potential for the Company is tremendous.