Mr. Mukesh Sabharwal reports

ADVANTEX ANNOUNCES BUSINESS UPDATE

Advantex Marketing International Inc. has closed a private placement of senior secured non-convertible debentures for gross proceeds of $400,000.

The new debenture bears interest at 12 per cent per annum payable semi annually, matures Oct. 10, 2025, and ranks pari passu on security with the existing senior secured non-convertible debentures in the aggregate principal amount of $7,759,000, which bear interest at 9 per cent per annum and mature on Dec. 31, 2025. There was no issuance of common shares of Advantex to the purchaser of the new debenture. This transaction is with a non-related party which is at arm's length with Advantex. Advantex secured the requisite approval of existing debentures to issue the new debenture.

The proceeds of the new debenture will be used to continue to: (1) stabilize Advantex's financial position, (2) finance its merchant cash advance business and (3) for general corporate purposes.

The board of directors of Advantex unanimously determined that the new debenture will improve the financial position of Advantex and that its terms are reasonable in the circumstances.

The new debenture is subject to a four-month hold period ending on Aug. 21, 2023.

About Advantex Marketing International Inc.

Advantex provides working capital to merchants. Advantex also provides specialized marketing programs that enable members of Aeroplan to earn Aeroplan points at participating merchants.

Advantex shares trade on the Canadian Securities Exchange under the symbol ADX.

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