OneMove Capital Responds to Annual and Special Meeting Results

OneMove Capital, the 15% shareholder that waged a proxy battle to overhaul Sylogist’s board, responded to the outcome of the May 12, 2026 annual and special meeting. It acknowledges the removal of board chair Barry Foster, the departure of the CEO (interim now in place), and the election of two new independent directors (Mary Filippelli and Andrew Shen). Despite these changes, OneMove insists the board fully adopt its turnaround plan: aggressive “right‑sizing” of R&D and G&A spending, a strategic review of the business portfolio with exits from non‑core revenue streams, and restoring Adjusted EBITDA margins to the mid‑30% range by the end of FY2026. The statement explicitly calls the recent Q1 earnings report “poor” and evidence that the current strategy is failing.

This release is the latest salvo in an ongoing activist campaign and does not itself contain new, market‑moving facts. However, it directly follows two materially negative events: the May 12 Q1 2026 results (revenue down 9.7% YoY, Adjusted EBITDA margin collapsed to 7.9%, net loss of $3.8 M, and dividend suspension) and the proxy contest conclusion that, while delivering some board refreshment, fell short of OneMove’s demand for majority control. The statement amplifies the negative narrative by publicly linking the weak earnings to the board’s incomplete actions, pressuring management to slash costs. The stock declined further on May 13‑14, reflecting continued uncertainty and downward momentum. Hence, the news is incrementally negative but routine in nature, as it is a follow‑up reaction rather than a new development.

Sylogist Ltd. is a Canadian SaaS provider offering cloud‑based ERP and mission‑critical software for public sector organisations, nonprofits, K‑12 education, and local governments. Its solutions are built on the Microsoft Dynamics platform and are sold both directly and through a growing partner network. The flagship project is the company’s comprehensive suite of Microsoft‑based cloud applications designed to modernise financial management, payroll, and regulatory compliance for its niche markets. Over the past year, management has been executing a transition from in‑house project services to partner‑led delivery, which has depressed project services revenue but is intended to improve long‑term scalability and recurring SaaS growth.