Accord Announces Amendment to its Banking Facility

Executive Summary

• Accord Financial Corp. amended its senior secured revolving credit facility, extending the maturity to February 27 2026.
• The total commitment was reduced from $205 million to $190 million and the amendment ties asset‑sale milestones to repayment of bank indebtedness.
• The extension supports the Company’s broader refinancing plan, including sale of loan portfolios, extension of unsecured subordinated debentures, and a focus on its Canadian SME financing business.

Key Details

• Amendment Scope: Senior secured revolving credit facility (the “Bank Facility”) maturity extended to Feb 27 2026 (previous short‑term extension announced Dec 15 2025).
• Commitment Reduction: Total commitment lowered from $205 million to $190 million.
• Milestone Integration: Incorporates asset‑sale milestones; net proceeds from proposed sales will be used to repay bank indebtedness.
• Strategic Context: Part of a broader refinancing strategy that includes:
• Sale of a majority of the loans of Accord Financial, Inc.
• Extension of the Company’s unsecured subordinated debentures (“Debentures”).
• Ultimate refinancing of all outstanding debt.
• Management Commentary: CEO/President Simon Hitzig stated the amendment provides needed time to execute the refinancing plan and will allow the company to focus exclusively on the Canadian small‑and‑medium‑enterprise sector, its core market since 1978.
• Forward‑Looking Statements: The release contains forward‑looking statements regarding the ability to complete asset sales, refinance debt, and achieve anticipated benefits; risks are outlined in Accord’s recent annual information form and MD&A.

Notable Quotes

“The amendment provides time to pursue our previously announced refinancing plan… Following completion of these initiatives, the Corporation will be exclusively focused on the Canadian small and medium enterprise sector, where it has been a market leader since 1978.” – Simon Hitzig, President & CEO.