Findev Inc. Provides Update on Victoria Park Loan Exposure and Expected Accounting Impairment

TORONTO, ON / ACCESS Newswire / September 25, 2026 / Findev Inc. ("Findev" or the "Company") (TSXV:FDI) announces that, following a continuing review of the Company's loan exposure to 1682 Victoria Park Avenue Inc. ("1682 Victoria Park") and the ongoing proceedings under the Companies' Creditors Arrangement Act (Canada) (the "CCAA", and such proceedings, the "CCAA Proceedings"), the Company expects to write off the remaining carrying value of its Victoria Park loan exposure in its financial statements for the applicable reporting period.

CCAA Proceedings and Related Realization Process

Pursuant to an order of the Ontario Superior Court of Justice (Commercial List) made on July 17, 2026 (the "Initial Order"), 1682 Victoria Park was granted protection under the CCAA. The Initial Order was granted on application by Findev Lending Inc. ("Findev Lending"), a subsidiary of the Company, and Albert Gelman Inc. was appointed as monitor in the CCAA Proceedings (in such capacity, the "Monitor").

The Company previously disclosed that Helmsbridge Holdings Limited ("Helmsbridge"), a company controlled by Anthony Heller, a director and significant shareholder of the Company, agreed to provide financing to 1682 Victoria Park to fund ongoing interest payable to senior lenders, project preservation costs, construction-completion costs, sale-process costs and other expenditures necessary to protect the project and the Company's existing secured position (the "Helmsbridge Financing"). The Company also previously disclosed that it agreed to postpone and subordinate its security and other interests in favour of Helmsbridge in respect of funds advanced by Helmsbridge to 1682 Victoria Park under the Helmsbridge Financing (the "Subordination"). Plazacorp Investments Limited and Anthony Heller have guaranteed the first-ranking mortgage loan secured against the Victoria Park project, which ranks ahead of the Company's security over the property.

This update does not change the Company's prior disclosure that the CCAA Proceedings are intended to provide a court-supervised framework for the preservation, restructuring or realization of the Victoria Park project. The expected write-off reflects the Company's current assessment of recoverability for financial reporting purposes and does not constitute a waiver, release or compromise of any claim, security, priority, guarantee, remedy or other right that Findev or Findev Lending may have in connection with the indebtedness, the CCAA Proceedings or the Victoria Park property.

The Company has made this determination based on management's current assessment of market conditions affecting the underlying real estate development, the expected proceeds from any realization or sale process in respect of the Victoria Park property, the priority of claims ranking ahead of the Company's security, and information currently available to the Company in connection with the CCAA Proceedings. The Company believes that current conditions in the real estate market remain highly challenging and that the proceeds expected to be available from the Victoria Park property are unlikely to result in a recovery sufficient to support the remaining carrying value of the Company's loan exposure. In particular, based on information currently available to the Company, it is not anticipated that revenues or realization proceeds from the Victoria Park project will be sufficient to satisfy the indebtedness, obligations and priority claims that rank ahead of the Company's security, nor the funds advanced or to be advanced by Helmsbridge under the Helmsbridge Financing.

The expected write-off follows from this realization assessment and is intended to align the carrying value of the Victoria Park loan exposure with management's current expectation of recoverability.

As previously disclosed, Findev Lending has loan exposure to 1682 Victoria Park. As at June 30, 2026, the amounts disclosed in the Company's interim financial statements and management's discussion and analysis for the six months ended June 30, 2026 included approximately $17.7 million in receivables, of which $5.3 million was principal, against which an expected credit loss reserve of $10.3 million had been recorded, in each case subject to applicable adjustments, costs, interest accruals, recoveries and determinations in the CCAA Proceedings, for a net carrying balance of approximately $7.4 million, which represents the amount the Company expects to expense.

The expected write-off reflects the Company's current estimate, under IFRS 9 Financial Instruments, of expected credit losses and recoverability based on reasonable and supportable information available at this time, including forward-looking information and observable conditions affecting the underlying collateral. The Company expects the Victoria Park loan exposure to be treated as credit-impaired and measured using lifetime expected credit losses, with changes in the allowance recognized in profit or loss as an impairment loss or impairment gain, as applicable. The Company expects the write-off to be recognized as an impairment loss or adjustment to the allowance for expected credit losses, as applicable, in accordance with IFRS. The accounting treatment remains subject to finalization by management, review by the Company's auditors, as applicable, and approval of the applicable financial statements by the Company's board of directors.

While unlikely, should economic or market conditions improve prior to the sale of the remaining inventory, if the sale or realization process produces recoveries in excess of the Company's current expectations, or if other facts and circumstances arise that reduce expected credit losses, the Company would reassess the allowance and carrying value of the loan exposure at each reporting date in accordance with IFRS. Any such reassessment could result in the reversal of some or all of the previously recognized expected credit loss allowance or impairment loss, to the extent permitted by IFRS, with the effect recognized in profit or loss in the applicable period. The Company expects to include in its financial statements and related MD&A disclosure for material financial instrument credit-risk exposures, including the gross carrying amount, loss allowance, write-off, relevant assumptions, collateral and credit enhancements, changes in expected credit losses, and the risks and uncertainties affecting recoverability. There can be no assurance, however, that market conditions will improve or that any additional recovery will be realized.

Findev is issuing this news release to provide timely disclosure regarding a development that may be material to Findev and its securityholders. The Company expects to reflect the write-off and related disclosure in its applicable financial statements and management's discussion and analysis, and will assess whether a material change report is required under applicable Canadian securities laws, including National Instrument 51-102 - Continuous Disclosure Obligations and Form 51-102F3 - Material Change Report. If a material change report is required, the Company expects that such report would include a plain-language summary and full description of the material change, the principal parties, relevant dates, affected assets and liabilities, the estimated financial impact, the reasons for the change and a discussion of the expected impact on the Company and its subsidiaries. The Company will continue to evaluate whether further disclosure is required as additional information becomes available through the CCAA Proceedings, the Monitor, the Court-supervised process, the sale or realization process and the preparation of its financial reporting materials.

Based on information currently available to the Company, this update is intended to supplement, and not replace or contradict, the Company's prior disclosure. It reflects a subsequent adverse development in management's assessment of recoverability arising from continuing market deterioration and the Company's current expectations regarding realization proceeds. The Company will update investors if the Court, the Monitor, the sale process, financial statement preparation or other material developments result in information that differs materially from the assumptions or expectations described in this news release.

About Findev

Findev is a publicly traded real estate finance company focused on financing real estate developers with shorter-term loans of one to five years during the development or redevelopment process. Loans are secured by investment properties and real estate developments throughout the Greater Toronto Area. Findev's unique market advantages include its expertise in real estate development and access to its real estate development partners. As a result, Findev is uniquely suited to assist developers engaged in challenging projects. For further information, please visit Findev's website at www.findev.ca.

On behalf of the Company,

Sruli Weinreb, CEO (647) 789-5188 sweinreb@findev.ca

Claude Ayache, CFO (416) 820-5002 findev.cfo@gmail.com

NEITHER THE 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.

Forward-Looking Statements

Certain statements in this news release may constitute "forward-looking" statements and forward-looking information within the meaning of applicable Canadian securities laws. Forward-looking statements in this news release include, without limitation, statements regarding the Company's expected write-off of the remaining carrying value of the Victoria Park loan exposure, the expected accounting treatment, measurement and disclosure of such write-off, the recoverability and carrying value of indebtedness owing to Findev Lending, the amount and timing of any recoveries, the outcome of the CCAA Proceedings, the performance of the real estate market, the proceeds that may be realized from the Victoria Park property, the possibility of a future reversal of all or part of an expected credit loss allowance or impairment loss, the timing and content of the Company's financial statements and MD&A, and the Company's current assessment of its disclosure obligations under applicable securities laws. These statements are based on management's current expectations, assumptions and judgments, including assumptions regarding market conditions, collateral values, priority claims, sale or realization proceeds, Court orders, Monitor reports, expected credit loss measurement, IFRS presentation and other information available to the Company as of the date of this news release.

Forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause actual results, events or developments to differ materially from those expressed or implied by such statements. These risks include, among others, the risk that the CCAA Proceedings do not result in recoveries consistent with the Company's current expectations, that sale or realization proceeds differ from current estimates, that revenues or realization proceeds from the Victoria Park project are not sufficient to satisfy claims ranking ahead of the Company or amounts advanced by Helmsbridge, that court orders or Monitor reports identify information that changes the Company's assessment, that the ranking, amount or treatment of claims differs from current expectations, that accounting estimates or judgments are revised during financial statement preparation, that IFRS measurement or disclosure conclusions differ from management's current expectations, that the Company's auditors or advisors reach different conclusions, and that market conditions do not improve. Although the Company believes that the assumptions underlying the forward-looking statements are reasonable, they may prove to be incorrect. Readers should not place undue reliance on forward-looking statements. The Company assumes no obligation to update or revise any forward-looking statement except as required by applicable securities laws.

SOURCE: Findev Inc.

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