Everyday People Financial Corp. Receives Conditional TSX Venture Exchange Acceptance for Divestiture of Financial Services Division

Executive Summary

• Everyday People Financial Corp. (EPF) has received conditional acceptance from the TSX Venture Exchange (TSXV) for the divestiture of its Financial Services operating entities to FinCard Financial Services Inc.
• The transaction is designed to simplify EPF's corporate structure, pivoting the company into a pure-play international Revenue Cycle Management (RCM) platform.
• Final completion is subject to several conditions, most notably approval by a majority of disinterested shareholders at a meeting anticipated for mid-July 2026.

Key Details

• Counterparty: FinCard Financial Services Inc., a wholly owned subsidiary of EAM Enterprises Inc. (a private company owned by Carrie Reykdal, wife of EPF Executive Chairman Gordon Reykdal).
• Divested Subsidiaries:
  • Everyday People Homes Inc.
  • EP Homes II Inc.
  • EP Travel Card Inc.
  • Everyday People Care Inc.
  • Everyday People Climb Credit Inc.
  • Everyday People Supply Chain Solutions Inc.
• Purchase Price: $850,000 (subject to customary post-closing adjustments).
• Intercompany Balances: Approximately $43.5 million in intercompany balances owed to EPF by the divested subsidiaries will be eliminated as part of the transaction.
• Future Participation Rights: The agreement includes provisions intended to allow EPF shareholders to participate in economic benefits should the divested subsidiaries be reorganized, spun out, or listed as a new public company in the future (subject to definitive agreements and regulatory approvals).
• Regulatory/Valuation Status:
  • The transaction is a related party transaction under MI 61-101 and TSXV Policy 5.3.
  • No formal valuation was prepared because the consideration does not exceed 25% of the company's market capitalization; therefore, evidence of value relies on disinterested shareholder approval.
• Timeline: An information circular will be mailed to shareholders ahead of an annual and special meeting expected in mid-July 2026.

Notable Quotes

• Gordon Reykdal, Executive Chairman: "Receiving conditional acceptance from the TSXV is an important milestone in completing this Transaction. We are committed to working through the remaining conditions efficiently and look forward to providing shareholders with the information they need to evaluate and vote on this strategic step forward for the Company."