AFC Gamma, Inc. AFCG → Sunrise Realty Trust, Inc. SUNS
| Parent | AFC Gamma, Inc. AFCG |
|---|---|
| Spinco | Sunrise Realty Trust, Inc. SUNS |
| Status | Completed |
| Structure | Spin-off A filing states a pro-rata distribution: holders receive shares automatically. |
| Focus | Focus-increasing Parent and spinco operate in different industries — the class the research associates with stronger post-separation returns. |
| Ratio | 1 Sunrise Realty Trust share for every 3 AFC Gamma shares |
| Checked against EDGAR | 2026-08-22 |
Data trap
Two filings disagree about July 9. The completion 8-K says trading commenced that day, which reads as the first regular-way session; the earlier and more precise 8-K says when-issued trading began July 9 and regular-way only on July 10. The anchor here follows the more precise statement. Note also that the spinco's share count comes from a 68,890-for-one forward split of its 100 existing shares immediately before the distribution, so any pre-split figure is meaningless, and the parent later renamed itself Advanced Flower Capital while keeping the AFCG ticker.
The restated filings have landed; this is kept as history.
Catalyst clock
- 2024-02-22Separation announced
- 2024-02-22Form 10 filed
- 2024-06-28Form 10 last amended
- 2024-07-02Form 10 effective
- 2024-07-08Record date
- 2024-07-09When-issued trading opens
- 2024-07-09Distribution
- 2024-08-14First standalone earnings
- —Index inclusion announced
Performance since separation
| Sunrise Realty Trust, Inc. since separation | -32.30% |
|---|---|
| AFC Gamma, Inc. over the same window | -58.87% |
| S&P 500 (SPY) over the same window | +37.76% |
| Russell 2000 (IWM) over the same window | +48.94% |
| Excess over the S&P 500 | -70.06% |
| Excess over the Russell 2000 | -81.24% |
Measured from the first regular-way close on or after the distribution — 2024-07-10 at 11.30 — to 2026-08-21 at 7.65. Window: 2.1 years. The 2024-07-09 session was skipped: it traded on when-issued volume, not regular-way, and pricing from it would measure the return against a market that no longer existed the next day. Two benchmarks, because one is misleading: spin-offs are usually small companies, and across this period small caps lagged the S&P by several points a year on their own. Measured against the S&P alone, roughly a third of any shortfall is company size rather than the separation. Returns are arithmetic over end-of-day closing prices. Unlike every other figure on this page, they do not come from a filing.
Pre-distribution investor return
| Parent, announcement to separation | +7.51% |
|---|---|
| Combined (AFC Gamma, Inc. + Sunrise Realty Trust, Inc.), pre-distribution to now | -29.88% |
| Combined excess over the S&P 500 | -67.78% |
| Combined excess over the Russell 2000 | -78.17% |
Combined treats a pre-spin holding as 1 Sunrise Realty Trust share for every 3 AFC Gamma shares valued at the parent's last close before regular post-spin trading resumed — 2024-07-08 at 8.30 — against that same basket today. That baseline is a practical proxy, not an attempt to isolate exactly how much value the separation transferred: for a large parent and a small spinco, ordinary day-to-day price noise can be bigger than the transfer itself. Run-up measures only the parent's own price, from the announcement date to that same baseline — how far the market had already moved before the separation's mechanics ever happened.
Filings
Every fact on this page comes from one of these.
- 10-12B/Afiled 2024-06-28 · 0001628280-24-030479Amendment 5; its Ex-99.1 is the preliminary information statement
- 8-Kfiled 2024-07-03 · 0001628280-24-031185Form 10 declared effective July 2, 2024; definitive information statement setting the July 8 record date, when-issued trading July 9 and regular-way trading July 10
- 8-Kfiled 2024-07-09 · 0001628280-24-031514Completion: spin-off completed July 9, 2024, all outstanding shares distributed
- 10-Qfiled 2024-08-14 · 0002012706-24-000009First periodic report; the forward split produced 6,889,032 shares
Notes
AFC Gamma's separation of its commercial real estate lending business, leaving the parent as a cannabis-focused lender. Classified focus-increasing: the two loan books have different borrowers, different regulation and different funding costs.