Accord Announces Amendment to Its Banking Facility

Executive Summary

• Accord Financial Corp. amended its senior secured revolving credit facility, extending the maturity to March 31 2026 and reducing total commitment from $190 M to $160 M.
• The amendment ties repayment milestones to proposed asset sales, with net proceeds earmarked for repaying bank indebtedness.
• Management indicated the amendment provides additional time to execute its refinancing plan, including the sale of most loans of its U.S. subsidiary and a focus on the Canadian SME sector thereafter.

Key Details

• Maturity Extension: New maturity date = March 31 2026 (previously February 27 2026).
• Commitment Reduction: Total facility commitment decreased from $190 million to $160 million.
• Milestone‑Linked Repayment: Amendment incorporates specific milestones related to planned asset sales; proceeds will be used to repay bank indebtedness.
• Strategic Context: Company is pursuing a broad range of strategic initiatives to refinance outstanding debt, simplify the business, and strengthen its balance sheet.
• CEO Comment: “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.” – Simon Hitzig, President & CEO.

Notable Quotes

“The amendment provides time to pursue our previously announced refinancing plan, which includes the sale of the majority of loans of our U.S. subsidiary… Following completion of these initiatives, the Corporation will be exclusively focused on the Canadian small and medium enterprise sector.” – Simon Hitzig, President & CEO.