Edmonton, Alberta--(Newsfile Corp. - February 20, 2025) - Everyday People Financial Corp. (TSXV: EPF) (OTCQB: EPFCF) ("Everyday People" or the "Company"), a financial service provider, is pleased to announce a reduction of approximately $14.9 million in debt with a combined annualized savings in interest expense of $1.7 million from July 18, 2024, to February 21, 2025.
Transitioning our EP Homes business line to the Company's new Borrowed Down Payment Program, has resulted in a reduction in debt as a direct result of selling EP Homes inventory to clients eliminating high-cost debt off the balance sheet of $8.3 million, or 73% in its outstanding EP Homes debt, decreasing from $11.4 million as of July 18, 2024, to $3.1 million as of February 21, 2025. Annualized interest expense savings are estimated to be $1.0 million.
In addition, the prior settlement agreements entered into by the Company through our Financial Services business line, on September 30, 2024, January 17, and 28, 2025, resulted in a $6.6 million debt reduction with annualized interest expense savings of $720,000.
"Our focus remains on strengthening our balance sheet while continuing to focus in key growth areas," said Dil Boparai, Chief Financial Officer of the Company. "Reducing our debt enhances our ability to execute our long-term strategy and drive sustainable value for our stakeholders."
Plans to Uplist to TSX
The Company is also excited to announce that it is preparing an application to graduate from the TSX Venture Exchange ("TSXV") to the Toronto Stock Exchange ("TSX"). The Company is actively working towards meeting all applicable listing requirements and will submit its application in due course. While the Company believes it is well positioned for this transition, there is no assurance that the TSX will approve the application. Graduating to the TSX represents a significant milestone for Everyday People, reflecting its strong financial performance, operational growth, and commitment to enhancing shareholder value. This transition, once approved, is expected to increase the Company's visibility among institutional investors, improve liquidity, and provide access to a broader capital market. The Company will provide further updates as the application process progresses. Until TSX approval is granted and a final listing date is determined, Everyday People will continue to trade under its current ticker symbol on the TSX Venture Exchange.
Issuance of Restricted Share Units
The Company is also pleased to announce that the Board of Directors has approved the grant of an aggregate of 570,000 restricted share units ("RSUs") to certain officers and management pursuant to its omnibus share incentive plan (the "Plan"), for their service during the 2024 fiscal year. Each RSU entitles the recipient to receive, upon vesting, one common share in the capital of the Company. The RSUs shall vest one year from the date of grant.
The Plan provides for the grant RSUs, options ("Options"), performance share units ("PSUs" and together with the RSUs, "Share Units") and deferred share units ("DSUs" and together with the Options and Share Units, "Awards"). The Plan includes a "rolling" stock option plan component that sets the maximum number of common shares in the capital of the Company ("Common Shares") reserved for issuance, in the aggregate, pursuant to the exercise of Options granted thereunder, together with the number of Common Shares reserved for issuance pursuant to the settlement of Share Units and DSUs granted under the Plan and the number of Common Shares reserved for issuance pursuant to any other security based compensation arrangement of the Company, at 10% of the number of Common Shares issued and outstanding on a non-diluted basis from time to time. In addition, the Plan sets the maximum number of Common Shares reserved for issuance, in the aggregate, pursuant to the settlement of Share Units and DSUs granted under the Plan at 5,000,000 Common Shares.
The Company's Plan was annually approved by the Company's shareholders at its annual and special meeting held July 25, 2024, and subsequently received annual approval from the TSX Venture Exchange on July 29, 2024.
About Everyday People Financial Corp.
Everyday People is founded on the belief that everyone deserves a second chance to financially reestablish themselves with access to affordable credit products. We are changing the way people manage money by enhancing our client services with our own affordable and specialized financial products and literacy programs. We're helping everyday people rebuild their financial health for generational wealth. Operating in the United Kingdom, Canada, and the United States of America, we have a workforce of about 500 people and our operations were first established in 1988,The company includes two main pillars of business: one pillar, EP Revenue Cycle Management operates under our Co-CEO RCM, Graham Rankin, and one pillar, EP Financial Services operates under our Co-CEO Financial Services, Barret Reykdal. We stand for creativity and entrepreneurship. Our combination of companies, products and services has been established to ensure we can fulfill consumers' financial needs and service them in a low-cost and effective manner.
Barret Reykdal Co-CEO, Financial Services of Everyday People Financial Corp. letsconnect@epfinancial.ca 1 888 825 9808 (Press Option 2 for Investor and Media Relations)
This news release includes certain "forward-looking statements" or "forward-looking information" (collectively referred to hereafter as "forward-looking statements") under applicable Canadian securities legislation. All statements other than statements of historical fact may be forward‐looking statements and information. More particularly and without limitation, this news release contains forward‐looking statements and information relating to the Company's strategic initiatives. Forward-looking information can also be identified by the use of forward-looking terminology such as "plans", "expects" or "does not expect", "is expected", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates" or "does not anticipate", or "believes", or variations of such words and phrases or indicates that certain actions, events or results "may", "could", "would", "might" or "will be" taken, "occur" or "be achieved". Forward-looking statements include, but are not limited to, statements with respect to financial performance, results of operations, integration of the acquired businesses, and the business, plans, strategy and operations of the Company. Forward-looking statements are necessarily based upon a number of estimates and assumptions that, while considered reasonable by the Company at the time such statements are made, are subject to known and unknown risks, uncertainties and other factors which may cause the actual results and future events to differ materially from those expressed or implied by such forward-looking statements. Such factors include, but are not limited to, expectations and assumptions concerning the Company and the acquired businesses as well as other risks and uncertainties, including those described in the documents filed by the Company on SEDAR+ at www.sedarplus.ca. The purpose of forward-looking information is to provide the reader with a description of management's expectations, and such forward-looking information may not be appropriate for any other purpose. There can be no assurance that such statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements. Forward-looking statements are made based on management's beliefs, estimates, and opinions on the date that statements are made. The Company disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
