Company: CMCT
Filing Date: 2025-11-12
Form Type: 8-K
Source: 0001104659-25-109739
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Company: Creative Media & Community Trust Corp
Filing Date: 2025-11-12
Form: 8-K
Item: Item 1.01
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Item 1.01 Entry into a Material Definitive Agreement

On November 12, 2025, Creative Media & Community Trust
Corporation (the “ Company”) announced that the Company and First Western SBLC, Inc., a Florida corporation and an indirect
wholly owned subsidiary of the Company (“ First Western”), entered into a membership interest purchase agreement, dated as
of November 6, 2025 (the “ Membership Interest Purchase Agreement”), with PG FR Holding, LLC, a Delaware limited
liability company (the “ Buyer”). Pursuant to the Membership Interest Purchase Agreement, and upon the terms and subject to
the conditions therein, Buyer will purchase from the Company all of the issued and outstanding equity interests of First Western (the
“ Transactions”). The Company estimates that, pursuant to the Membership Interest Purchase Agreement and based on information
related to First Western’s assets and other matters as of September 30, 2025, the purchase price will be approximately $44
million (which is net of the outstanding balance of debt related to the 2023 securitization of certain loan receivables), subject to adjustment
and updated information through the closing (the “ Closing”) of the Transactions. Upon the Closing and giving effect to the
payment of other debt, transaction expenses and other matters, the Transactions are expected to yield net cash proceeds to the Company
of approximately $31 million.

The Membership Interest Purchase Agreement contains representations,
warranties, covenants and indemnification obligations that are customary for a transaction of this type, including, among others, covenants
by First Western to use reasonable best efforts to conduct the business of First Western in the ordinary course between execution of the
Membership Interest Purchase Agreement and the Closing.

The Closing is subject to the receipt of the U. S.
Small Business Administration’s consent to the acquisition by the Buyer of the equity interests in First Western and certain customary
closing conditions, including (i) the absence of any law or order that challenges or may prevent the consummation of the Transactions,
(ii) the accuracy of the representations and warranties of each party, subject to certain materiality thresholds, (iii) the
performance and compliance by each party with the covenants and obligations of such party pursuant to the Membership Interest Purchase
Agreement in all material respects and (iv) Barry Berlin not terminating, providing a notice of his intention to terminate, or otherwise
rescinding his agreement to work for an affiliate of Buyer following the Closing.

The