The Written Record Disproved Medallion Financial Statements Before. It Does So Again. BIMIZCI Issues Point-by-Point Rebuttal of Medallion's Investor Presentation. Urges Stockholders to Vote for Change
- BIMIZCI is Medallion's (NASDAQ:MFIN) 4th largest institutional stockholder, has been invested for more than five years, and owns 500,250 shares plus $15 million par value of trust preferred securities as of May 27, 2026, representing a total cash investment of $11.4 million
- BIMIZCI has launched the "Restore the Shine" campaign (www.restoretheshine.com) to elect three new, outstanding, independent directors to Medallion's board
- We are asking stockholders of record as of April 13, 2026, to vote the BLUE proxy card now at https://restoretheshine.com/vote
- Co-defendants, Medallion and CEO Andrew Murstein settled a multi-year SEC fraud matter in May 2025, paying $4 million in penalties under permanent federal injunctions
- Five months later, the board promoted Murstein to CEO and paid him $5.7 million, including a $4.6 million bonus
- The market has spoken - Medallion's performance has been declining, with recent performance the worst since 2020 and valuation multiples near all-time lows
- Medallion's total shareholder return is the lowest in its peer group over nearly every measured period, its stock traded at 0.80x tangible book value, and the SBA declared an event of default on $73.5 million of subsidiary debentures
- BIMIZCI has engaged with Medallion over 50 times and submitted two white papers, offering growth capital, strategic ideas, and a long-term locked-up equity investment, and has been ignored or dismissed nearly every time
- BIMIZCI's new rebuttal deck answers Medallion's May 2026 investor presentation claim by claim, using the written record and verifiable data
It is telling that a management team and board that spent years as defendants in an SEC fraud lawsuit, one driven by Medallion Financial's now-CEO misleading investors, is now accusing BIMIZCI of the very conduct a federal judge attributed to them. The difference is the record. Where the SEC complaint documented Medallion's misstatements, the written record dismantles Medallion's claims about BIMIZCI just as clearly. Medallion tells stockholders the company is performing but the data says otherwise and the market agrees with the data.
View the full rebuttal deck HERE.
Our rebuttal deck lays out the evidence across several areas:
The federal record. Murstein stipulated, for purposes of the Bankruptcy Code, that the SEC's allegations are true. Judge Kaplan found the complaint contained more than sufficient allegations that Murstein and Medallion misled investors by withholding information material to Medallion Bank's fair value, and that Murstein's conduct verged on "deliberate illegal behavior." Co-defendants Medallion and Murstein settled only after their motion to dismiss was almost entirely denied and they faced trial.
Medallion's claims versus reality. We take Medallion's central claims, that it created historic shareholder value, that BIMIZCI is merely a debt holder seeking a buyout, that Medallion returned $68.5 million to shareholders, and answer each with the written record, including complete emails that either contradict Medallion's account or provide full context. Medallion's TSR is the lowest in its own peer group over nearly every period through the filing of our preliminary proxy statement, and its "value creation" narrative starts at the trough of a taxi-medallion collapse of its own making.
Deteriorating financial performance. Consumer charge-offs sit at 15-year highs, the Recreation segment is charging off at rates approaching unsecured credit cards despite being secured lending, reported 2025 earnings relied on $17 million of non-recurring gains on stock sales, and 1Q26 was the weakest quarter since 2020. Medallion tried and failed to refinance $31.25 million in debt before its maturity. The SBA declared an event of default on $73.5 million of subsidiary loans, finding the subsidiary lacked a "qualified management team."
A board that has not held management accountable. Five directors are near or over 80, three of eight are Murstein family, and average director tenure is roughly 18 years. The board gutted the executive clawback policy within two weeks of BIMIZCI urging its use, changing its bylaws to discourage stockholder nominations weeks before Judge Kaplan's ruling, and promoted Andrew Murstein months after his permanent injunctions.
A track record of warnings ignored. BIMIZCI flagged deteriorating consumer credit, commercial non-performer risk, earnings distortion, lowered margins, refinancing risk, and the technology gap as far back as 2023 and 2024. Each warning has since been confirmed by actual events. Medallion's response at the time was that "no change is needed".
Three nominees who fill the board's gaps. Eric Kelly, John Kiernan and Tim Shanahan bring sitting-CEO experience, technology and AI leadership, bank board service, regulatory credibility, and turnaround and restructuring expertise, capabilities the current board lacks.
We have responded point by point, on the record. We encourage every stockholder to read the full rebuttal.
View the rebuttal deck at https://restoretheshine.com/materials/bimizci-rebuttal-mfin-may-2026-presentation
Stockholders of record as of April 13, 2026 are urged to vote the BLUE proxy card before the annual meeting on June 9, 2026. Voting instructions are at https://restoretheshine.com/vote.
About BIMIZCI Fund LLC
BIMIZCI Fund LLC is managed by ZimCal Asset Management LLC ("ZimCal"). Warnke is managed by BIMIZCI Fund LLC which in turn is managed by ZimCal. ZimCal is managed by Stephen Hodges. ZimCal is an alternative investment firm focused on niche, illiquid and complex credit investment opportunities. ZimCal partners with both healthy and distressed borrowers or issuers and provides customized solutions that meet their unique needs and circumstances. Based on a diluted share count of 23,864,438 shares provided by the Company as of April 29, 2026, BIMIZCI's percentage ownership stake is 2.10% as of the date of this release.
See https://restoretheshine.com/about for more details.
Important Information
BIMIZCI Fund LLC, Warnke Investments LLC, ZimCal Asset Management LLC, and Stephen Hodges (collectively, "BIMIZCI") have nominated individuals as nominees to the board of directors of Medallion Financial Corp. (the "Company") and intend to solicit votes for the election of those individuals, Eric Kelly, John Kiernan, and Timothy Shanahan as members of the Company's board of directors (the "Nominees"). BIMIZCI will send a definitive proxy statement, proxy card and related proxy materials to stockholders of the Company seeking their support of the Nominees at the Company's 2026 annual meeting of stockholders. Stockholders are urged to read the definitive proxy statement and proxy card because they contain important information about the Nominees, the Company and related matters. Stockholders may obtain a free copy of the definitive proxy statement and proxy card and other documents filed by BIMIZCI with the Securities and Exchange Commission ("SEC") at the SEC's web site at www.sec.gov. Stockholders may also direct a request to Sodali & Co LLC, our proxy solicitor, by calling (800) 662-5200, or banks and brokers can call collect at (203) 658-9400, or by emailing zimcal@info.sodali.com.
Participants in Solicitation
The following persons are participants in the solicitation by BIMIZCI: BIMIZCI Fund LLC, Warnke Investments LLC, ZimCal Asset Management LLC, Stephen Hodges, Eric Kelly, John Kiernan, and Timothy Shanahan. The participants may have interests in the solicitation, including as a result of holding shares of the Company's common stock. BIMIZCI filed a definitive proxy statement under cover of Schedule 14A on May 8, 2026 (the "Definitive Proxy Statement"). Information regarding the participants and their interests is contained in the Definitive Proxy Statement.
Forward-Looking Statements
Some of the information herein may contain forward-looking statements. All statements contained herein that are not clearly historical in nature or that depend on future events are forward-looking. The words "anticipate," "believe," "expect," "potential," "could," "opportunity," "estimate," "plan," and similar expressions are generally intended to identify forward-looking statements. There can be no assurance that any forward-looking statements will prove to be accurate and therefore actual results could differ materially from those set forth in, contemplated by, or underlying these forward-looking statements. In light of the significant uncertainties inherent in forward-looking statements, the inclusion of such information should not be regarded as a representation as to future results or that the objectives and strategic initiatives expressed or implied by such forward-looking statements will be achieved.
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Media contact: nicole@nh-consult.com