Joint News Release Smartset Services Inc. and FinCard Financial Services Inc. Announce Binding Letter of Intent for Qualifying Transaction
Shell reverse takeover of FinCard gives EPF shareholders a tangible, if uncertain, exit path for the non-core assets
The most recent release (June 12, 2026) is a joint announcement by Smartset Services Inc. and FinCard Financial Services Inc. of a binding letter of intent for a Qualifying Transaction on the TSXV. Smartset will acquire 100% of FinCard via a three-cornered amalgamation, resulting in FinCard becoming a wholly-owned subsidiary and the “Resulting Issuer” listing as a Tier 2 Technology issuer. Key terms: a 4:1 Smartset share consolidation, issuance of ~139.6M Resulting Issuer Shares to FinCard shareholders on a 1:1 exchange, and concurrent financings of up to C$16.5M (shares at C$0.25 and C$0.50, plus convertible debentures). From EPF’s perspective, this directly affects the previously announced distribution of FinCard shares to EPF shareholders: on July 23, 2026, EPF shareholders are expected to receive one FinCard share per EPF share, and those FinCard shares would then convert into shares of the Resulting Issuer upon completion of this Qualifying Transaction.
The June 12 LOI is a genuine, incremental positive for EPF shareholders. While the distribution of FinCard shares was previously announced, the creation of a publicly traded vehicle via a reverse takeover was not explicitly guided and represents a credible path to liquidity and price discovery for those shares. The stock had been declining into the print, implying that the market had written off the FinCard shares as nearly worthless. The LOI, albeit conditional, challenges that assumption. The magnitude of potential value is unclear, but the pro‑forma fully diluted share count of ~183M and the $0.25/$0.50 financing levels suggest an implied value that could be material relative to EPF’s current C$70M market cap. Execution risk and the related-party nature of the overall transaction remain important caveats.
Everyday People Financial Corp. is a Canadian-domiciled company transitioning into a pure‑play international Revenue Cycle Management (RCM) platform with operations in Canada and the UK. Following the announced divestiture of its Financial Services and EP Homes segments to FinCard, the company will operate through subsidiaries such as BPO Collections, Everyday People Financial Solutions Limited, CCS Group Holdings, ACT Credit Management, and others, focusing on debt collection, credit management, and related services.