BIMIZCI Fund LLC announced it has nominated three directors for election to Medallion Financial Corp.'s (NASDAQ: MFIN) board, citing concerns about the company's performance and governance. The investment firm owns 500,205 shares and holds $15 million par value in trust preferred securities, representing a total cash investment of $11.4 million.

The nominees are Eric Kelly, John Kiernan and Timothy Shanahan. BIMIZCI launched what it calls the "Restore the Shine" campaign and filed a definitive proxy statement on May 8, 2026, asking shareholders to vote for its candidates at the annual meeting scheduled for June 9, 2026.

BIMIZCI, which describes itself as the fourth largest institutional stockholder in Medallion, raised several concerns about the company's current leadership. The firm noted that Medallion's CEO settled an SEC civil action alleging securities fraud by consenting to a final judgment and permanent injunctions. Additionally, five of eight board members are approaching age 80, with two over 85 years old.

According to the press release, Medallion's top five executives received $13 million in compensation in 2025, representing the second highest total in the company's history. This occurred while the company reported its lowest quarterly earnings since third quarter 2020 in the first quarter of 2026.

The investment firm cited analyst consensus estimates projecting a 36% decline in 2026 earnings compared to 2025 actuals. BIMIZCI also pointed to valuation metrics, noting Medallion's price-to-tangible book value ratio of 0.80x and price-to-earnings ratio of 5.8x are below peer companies and the Russell 2000 index.

BIMIZCI stated it has been invested in Medallion for over five years and had not previously engaged in activist investing until this campaign. The firm operates through ZimCal Asset Management LLC, which focuses on credit investment opportunities.