goeasy Ltd. Announces Increase to Revolving Credit Facility

MISSISSAUGA, ON, July 19, 2024 /CNW/ - goeasy Ltd. (TSX: GSY), ("goeasy" or the "Company"), one of Canada's leading consumer lenders focused on delivering a full suite of financial services to Canadians with non-prime credit, announced today that it has completed an amendment to increase its existing senior secured revolving credit facility (the "Credit Facility"), including a term extension, borrowing enhancements and the addition of three new lenders.

The Company is increasing its Credit Facility from $370 million to $550 million, with the maturity extended to July 18, 2027. The facility will continue to bear interest on advances payable at the rate of Adjusted 1-Month Term Canadian Overnight Repo Rate Average ("Adjusted CORRA") plus 225 bps. Based on the current Adjusted CORRA rate of 4.92% as of July 17, 2024, the interest rate on the principal amount drawn would be 7.17%. Additionally, the amendment incorporates key modifications including improved advance rates, less restrictive covenants, and a broader syndicate of lenders. The amended Credit Facility is underwritten by Bank of Montreal, Royal Bank of Canada, Wells Fargo Bank, CIBC, National Bank of Canada, Toronto-Dominion Bank and three new lenders including Desjardins, Bank of Nova Scotia and Raymond James. The Company can also utilize an accordion feature to increase the size of the facility by up to an additional $150 million.

"The increase to our revolving credit facility and the addition of three new lenders to the syndicate demonstrates the continued confidence of our bank partners, while providing additional capital to support our organic growth plans," said Jason Mullins, goeasy's President and Chief Executive Officer.

"The increase to the credit facility now lifts our total funding capacity to nearly $1.3 billion," said Hal Khouri, goeasy's Executive Vice President and Chief Financial Officer, "In addition to several enhancements that improve the flexibility of the facility, it now includes participation from all the major banks in Canada, a testament to the strength of our business."

About goeasy

goeasy Ltd. is a Canadian company, headquartered in Mississauga, Ontario, that provides non-prime leasing and lending services through its easyhome, easyfinancial and LendCare brands. Supported by over 2,500 employees, the Company offers a wide variety of financial products and services including unsecured and secured instalment loans, merchant financing through a variety of verticals and lease-to-own merchandise. Customers can transact seamlessly through an omnichannel model that includes online and mobile platforms, over 400 locations across Canada, and point-of-sale financing offered in the retail, powersports, automotive, home improvement and healthcare verticals, through over 10,000 merchant partners across Canada. Throughout the Company's history, it has acquired and organically served approximately 1.4 million Canadians and originated over $13.5 billion in loans.

Accredited by the Better Business Bureau, goeasy is the proud recipient of several awards in recognition of its exceptional culture and continued business growth including 2024 Best Workplaces™ in Financial Services & Insurance, Waterstone Canada's Most Admired Corporate Cultures, ranking on the 2022 Report on Business Women Lead Here executive gender diversity benchmark, placing on the Report on Business ranking of Canada's Top Growing Companies, ranking on the TSX30, Greater Toronto Top Employers Award and has been certified as a Great Place to Work^®. The Company is represented by a diverse group of team members from over 70 nationalities who believe strongly in giving back to communities in which it operates. To date, goeasy has raised and donated over $5.6 million to support its long-standing partnerships with BGC Canada and many other local charities. In 2023, the Company announced a 3-year, $1.4 million commitment to BGC Canada's Food Fund.

goeasy Ltd.'s. common shares are listed on the TSX under the trading symbol "GSY".  goeasy is rated BB- with a stable trend from S&P and Ba3 with a stable trend from Moody's.

For more information about goeasy and our business units, visit www.goeasy.com, www.easyfinancial.com, www.lendcare.ca,  www.easyhome.ca.

For further information contact:

Jason Mullins
President & Chief Executive Officer
[phone]

Farhan Ali Khan
Senior Vice President, Chief Corporate Development Officer
[phone]

SOURCE goeasy Ltd

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