Accord Announces Approval of Debenture Amendments

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TORONTO — Accord Financial Corp. (“Accord” or the “Company”) (TSX – ACD) today announced that holders of the Company’s 10% Unsecured Subordinated Debentures (the “Debentures”) approved previously announced amendments to the terms of the Debentures at a special meeting of holders of Debentures held earlier today. The amendments (“Debenture Amendments”) were outlined in a management proxy circular mailed to Debentureholders in connection with the meeting and include (i) extending the maturity date of the Debentures from January 31, 2026 to July 31, 2026, and (ii) increasing the interest rate to 12% commencing January 31, 2026 such that on the July 31, 2026 maturity date Debentureholders will receive 13 months’ worth of accrued interest, calculated at a rate of 10% for the period from July 1, 2025 to and including January 30, 2026 and a rate of 12% for the period from January 31, 2026 to and excluding July 31, 2026. The Debentures trade on the TSX under the symbol “ACD.DB” and since December 15, 2025 have traded on an “interest flat” basis.

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The Company’s President and CEO, Mr. Simon Hitzig, commented: “Accord continues to pursue a refinancing of its outstanding debt obligations. The Company has signed a non-binding letter of intent for the sale of a majority of the loans of Accord Financial, Inc. and is working to close that transaction. Discussions are also continuing with its senior lenders as well as a number of potential new lenders to refinance its senior credit facility due February 27, 2026. While there is no assurance that these initiatives will yield a successful result, the Debenture Amendments allow the Company additional time to continue its refinancing efforts. We sincerely appreciate Debentureholders’ support through this critical period.”

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The Company also announced that holders of the unlisted 10.00% Unsecured Subordinated Debentures (Series B) have approved similar amendments to the terms of those debentures.

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Full terms of the Debenture Amendments will be incorporated into a supplemental trust indenture which will be filed under the Company’s profile on SEDAR+ at www.sedarplus.com.

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About Accord Financial Corp.

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Accord Financial is one of North America’s most dynamic commercial finance companies providing fast, versatile financing solutions including asset-based lending, factoring, inventory finance, equipment finance, trade finance and film/media finance. By leveraging our unique combination of deep experience and independent thinking, we craft winning financial solutions for small and medium-sized businesses, simply delivered, so our clients can thrive.

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Forward-Looking Statements

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This news release contains certain “forward-looking statements” and certain “forward-looking information” as defined under applicable Canadian securities laws. Forward-looking statements can generally be identified by the use of forward-looking terminology such as “may”, “will”, “expect”, “intend”, “estimate”, “anticipate”, “believe”, “continue”, “plans” or similar terminology. Forward-looking statements in this news release include, but are not limited to, statements, management’s beliefs, expectations or intentions regarding the financial position of the Company and the ability of the Company to repay or refinance its outstanding debt obligations. Forward-looking statements are based on forecasts of future results, estimates of amounts not yet determinable and assumptions that, while believed by management to be reasonable, are inherently subject to significant business, economic and competitive uncertainties and contingencies. Forward-looking statements are subject to various risks and uncertainties including, but not limited to risks applicable to any debt instrument including that the Company may not be able to pay the interest and/or repay the principal amount outstanding under the Debentures when due, risks that the Company’s refinancing plan may not be achievable on acceptable terms or at all, and risks that the Company or Debentureholders may not realize the anticipated benefits of the Debenture Amendments including ultimate repayment of the Debentures even if the Debenture Amendments are implemented. If any or all of the Company’s outstanding debt obligations are not renewed or replaced upon expiration of their terms, and if the Company is unsuccessful in its ability to generate additional capital from sales of portfolio assets and/or business units or from additional alternative financing arrangements to repay same on terms acceptable to the Company, or at all, the Company may not be able to continue to finance its operations and operate as a going concern. See Accord’s most recent annual information form and most recent management’s discussion and analysis of results of operations and financial condition for a detailed discussion of the risk factors affecting Accord. Such forward-looking information represents management’s best judgment based on information currently available. No forward-looking statement can be guaranteed and actual future results may vary materially. Accordingly, readers are advised not to place undue reliance on forward-looking statements or information.

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Contacts

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Irene Eddy
Senior Vice President, Chief Financial Officer
Accord Financial Corp.
602 – 40 Eglinton Avenue East
Toronto, ON M4P 3A2
(416) 961-0304
[email protected]

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