Medallion Financial Corp. Announces Launch of Initial Public Offering of Preferred Stock by Medallion Bank

Medallion Financial Corp. (Nasdaq: MFIN, “Medallion Financial”) announced today that its wholly owned subsidiary, Medallion Bank, has launched an initial public offering of shares of its Series F Fixed-to-Floating Rate Noncumulative Perpetual Preferred Stock, par value $1.00 per share, with a liquidation preference of $25 per share (the “Series F Preferred Stock”). Medallion Bank’s Series F Preferred Stock is expected to trade on the Nasdaq Capital Market under the ticker symbol “MBNKP.” Medallion Bank will remain a wholly owned subsidiary of Medallion Financial upon completion of the offering.

Medallion Bank expects to grant the underwriters a 30-day option to purchase additional shares of the Series F Preferred Stock solely to cover over-allotments, if any.

Medallion Bank intends to use the net proceeds from this offering for general corporate purposes, which may include, among other things, increasing Medallion Bank’s capital levels, growing its consumer loan portfolios or redeeming some or all of its outstanding Senior Series E Non-Cumulative Perpetual Preferred Stock, subject to the prior approval of the Federal Deposit Insurance Corporation.

Sandler O’Neill + Partners, L.P. is acting as book-running manager. B. Riley FBR, Northland Capital Markets, Incapital LLC, Wedbush PacGrow and American Capital Partners, LLC are acting as co-managers.

The offering will be made only by means of an offering circular. A registration statement on Form 10 relating to the securities has been filed with the Federal Deposit Insurance Corporation but has not yet become effective. This press release is for informational purposes only and does not constitute an offer to sell or the solicitation of an offer to buy securities, and shall not constitute an offer, solicitation or sale in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of that jurisdiction. The securities are neither insured nor approved by the Federal Deposit Insurance Corporation or the Utah Department of Financial Institutions.

The preliminary offering circular relating to the offering and the registration statement on Form 10 are available at medallionbankoffering.com. In addition, copies of the preliminary offering circular may also be obtained from: Sandler O’Neill + Partners, L.P.; Attn: Syndicate, 1251 Avenue of the Americas, 6th Floor, New York, New York 10020, by phone at [phone] or by email at [e-mail].