Advantex Announces Business Update

TORONTO, April 21, 2023 /CNW/ - Advantex Marketing International Inc. (CSE: ADX) ("Advantex"), a leader in the merchant cash advance and loyalty marketing products for merchants, is pleased to announce that it has closed a private placement of senior secured non-convertible debentures for gross proceeds of $400,000 ("New Debenture").

The New Debenture bears interest at 12% per annum payable semi annually, matures October 10, 2025, and ranks pari passu on security with the existing senior secured non-convertible debentures (Existing Debentures) in the aggregate principal amount of $7,759,000 which bear interest at 9% per annum and mature on December 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) fund 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 August 21, 2023.

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. For more information go to Advantex's profile on www.sedar.com.

This news release contains "forward-looking statements" within the meaning of applicable securities laws relating to the future business and operations of Advantex. Actual results and developments may differ materially from those contemplated by these statements. The business and operations of Advantex described herein is dependent on a number of factors and is subject to a number of risks and uncertainties. Factors that could cause actual results to differ material include, but are not limited to, changes in Advantex's economic and competitive conditions including but not limited to the industry sectors in which Advantex operates.

The statements in this news release are made of the date of this release. Forward-looking statements are made based on management's beliefs, estimates and opinions on the date the statements are made and Advantex undertakes no obligation to update forward-looking statements if these beliefs, estimates and opinions or other circumstances should change, except as required by applicable law.

SOURCE Advantex Marketing International Inc.

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