Felix Payment Systems Ltd. Announces Restructuring of Business Operations to Pursue Sale and Investment Process

VANCOUVER, BC, Dec. 13, 2024 /CNW/ - Felix Payment Systems Ltd. (the "Company" or "Felix"), a leading provider of cloud-based payment solutions, announced that it sought and obtained an order (the "Initial Order") from the Supreme Court of British Columbia Justice (the "Court") under the Companies' Creditors Arrangement Act (the "CCAA"), to restructure its financial affairs. The Initial Order provides for, among other things: (i) a stay of proceedings in favor of the Company; and (ii) the appointment of Alvarez & Marsal Canada Inc. as monitor of the Company (in such capacity, the "Monitor").

After careful consideration in consultation with legal and financial advisors, the board of directors determined seeking creditor protection under the CCAA is in the best interests of the Company and its stakeholders in light of recent financial pressure from some creditor groups.

The Company is expected to continue to operate in the ordinary course under the protection of the Initial Order. There are no disruptions anticipated to the products and services that Felix provides to its customers. The board of directors of the Company will remain in place, and management retains responsibility for the day-to-day operations of the Company.

The Company also received Court approval of a sale and investment solicitation process (the "SISP") to be conducted by the Monitor in accordance with the terms therein. The SISP is intended to solicit interest in, and opportunities for, a sale of, or investment in, all or part of the assets and business segments of the Company, with the goal of maximizing value for the Company and its stakeholders. The deadline for submitting bids is January 31, 2025.

A copy of the Initial Order and other information regarding the CCAA proceedings, including details of the SISP, the relevant timelines, and how to make a bid are available on the Monitor's website. Information regarding the CCAA proceedings can also be obtained by emailing the Monitor at felixpayment@alvarezandmarsal.com or visiting the Monitor's website at https://www.alvarezandmarsal.com/felixpayment.

About Felix Payment Systems Ltd.

Felix provides innovative payment technologies and is leading a relatively new division of the payment industry often referred to as SoftPOS or Software Point of Sale solutions. As a derivative of SoftPOS, Felix specializes in cloud-based payment acceptance infrastructure and associated software systems.

Felix's cloud-based payment infrastructure enables users to leverage Commercial ff-the-shelf ("COTS") devices with a standard near field communication technology to accept contactless payments, without the need for any additional bolt-on hardware (ie. dongles and/or cases). Felix allows its end users to access the software directly via its Android application or integrate the solution directly into their own software product with its Software Development Kit (the "SDK"). Felix is responsible for the maintenance of the cloud environment and all necessary certifications to operate a financial services technology product. Felix has or is in the process of completing a number of these certifications.

For more information regarding the CCAA proceedings – including all of the Court materials filed in the CCAA proceedings – may be found at the Monitor's website: https://www.alvarezandmarsal.com/felixpayment.

SOURCE Felix Payment Systems