MISSISSAUGA, ON, March 24, 2026 /CNW/ – goeasy Ltd. (TSX: GSY) (“goeasy” or the “Company”), one of Canada’s leading non-prime consumer lenders, announced today that it has entered into definitive agreements (the “Definitive Agreements”) with the lenders and other counterparties under its syndicated revolving credit facility, consumer securitization warehouse facility and loan purchase and sale agreement (collectively, the “Facilities”). The Definitive Agreements, which were entered into with the unanimous consent of the lenders and other financing counterparties party to the Facilities, (i) provide that the Facilities may remain outstanding and that the syndicated revolving credit facility and the consumer securitization warehouse facility will remain available to provide future funding to goeasy, (ii) waive compliance with certain financial covenants in respect of the fourth quarter of 2025, and (iii) give effect to certain other amendments to the Facilities.
“We are pleased to have reached this outcome with our lenders and other financing counterparties. The Facilities, as amended by the Definitive Agreements, together with the strong cash flow generation of the business, provide goeasy with the liquidity to continue executing on our priorities,” said Felix Wu, goeasy’s Chief Financial Officer. “We particularly value the partnership shown by all of our lenders and financing counterparties in reaching this outcome with us, and we intend to engage in further discussions with these parties with a view to renewing the Facilities when they mature in accordance with their terms later in 2026 and in 2027.”
Under the terms of the Definitive Agreements, the Company’s compliance with certain financial covenants under the Facilities in respect of the fourth quarter of 2025 will be waived, and the financial covenants will also be amended to take into account the impact of certain charge offs, write downs and other items expected to adversely impact the Company’s results for the fourth quarter of 2025. As a result of executing the Definitive Agreements, the Company is in compliance with all of the financial and other covenants under the Facilities as of the date hereof and expects to remain in compliance once it announces its financial results for the fiscal year 2025 and thereafter.
After giving effect to the Definitive Agreements, the size of the syndicated revolving credit facility will remain $550 million and the facility will continue to mature in July 2027; provided that availability will be subject to a borrowing-base test, certain advance rates, and eligibility requirements that exclude loan receivables originated at LendCare, and may not exceed $440 million without lender consent. The spread applicable to interest on advances under the facility will increase from its previous level by 100 bps, from 225 bps to 325 bps. As noted above, all of the financial covenants under the facility have been adjusted for the remaining term of the facility.
Pursuant to the Definitive Agreements, the size of the consumer securitization warehouse facility will decrease from $1.4 billion to $1.12 billion and will utilize revised eligibility criteria that exclude loan receivables originated at LendCare. The facility will continue to mature on October 30, 2026. The spread applicable to interest on advances under the facility will increase from its previous level by 100 bps, from 210 bps to 310 bps. As noted above, all of the financial covenants under the facility have been adjusted for the remaining term of the facility.
Also pursuant to the Definitive Agreements, the securitization counterparty with respect to the Company’s primary loan purchase and sale agreement agreed to waive any existing event of termination thereunder and to allow the loans sold into the facility to remain in the facility and to continue to amortize in accordance with the terms of the facility. As of December 31, 2025, $81.4 million in connection with this facility is reflected as Secured Borrowings on the Company’s balance sheet, against $177 million of loans receivable in the facility. The securitization counterparty has expressed an interest in renewing the facility, on terms to be agreed, in connection with the annual renewal date in August 2026. The Company has one other loan purchase and sale agreement outstanding that is reflected as $7.4 million of Secured Borrowings on the Company’s balance sheet as of December 31, 2025, and the Company is in compliance with all of the financial and other covenants under the agreement as of the date hereof.
The Company did not enter into any Definitive Agreement with respect to its auto securitization warehouse facility, as the Company had previously agreed with the parties thereto to suspend the use of the facility, with all amounts outstanding repaid and the related loan receivables transferred to the Company.
As previously disclosed, the Company remains in compliance with all the covenants under its senior unsecured notes. The Company intends to use cash on hand to repay the borrowings under its US$64.6 million senior unsecured notes maturing on May 1, 2026.
Based on its $240 million of cash on hand and $927 million aggregate amounts drawn as of February 28, 2026, the Company has liquidity (cash on hand plus unused contractual borrowing capacity) of up to $983 million (of which $743 million will not be available until July 1, 2026 in accordance with the terms of the amended financing arrangements) as a result of the Definitive Agreements. Going forward, the Company’s liquidity will be bolstered by the ongoing strong cash flow generated from its business operations; for the three months ended December 31, 2025, the Company expects to report that it generated approximately $536 million of cash provided by operating activities before net principal written1 (representing $229 million cash used in operating activities plus $765 million net principal written).
The foregoing is a description of certain significant terms of the Definitive Agreements, does not purport to be complete and is qualified in its entirety by the full terms and conditions of the Definitive Agreements.
__________________________ 1 Each of “cash provided by operating activities before net principal written” and “net principal written” is a non-IFRS measure. Cash provided by operating activities before net principal written is a non-IFRS measure capturing information about the Company’s cash flow generation excluding cash used to extend loans net of repayments. Net principal written is a non-IFRS measure capturing the Company’s gross loan originations during a period, excluding the portion of the originations used to repay prior borrowings. For the three months ended December 31, 2025, the Company expects to report net principal written of $765 million, representing gross loan originations of $952 million less $187 million of proceeds applied to repay existing loans. The Company uses “cash provided by operating activities before net principal written” and “net principal written,” among other measures, to assess the operating performance of its lending business. Non-IFRS measures are not determined in accordance with IFRS, do not have standardized meanings and may not be comparable to similar financial measures presented by other companies.
Earnings Call
The Company also announced that it now expects to release its fourth quarter 2025 results after the market closes on Tuesday, March 31, 2026. The Company will hold its 2025 Q4 earnings conference call for analysts and investors on Wednesday, April 1, 2026 at 8:00 a.m. ET.
Call Details
Local – Toronto: 416-945-7677 North American Toll Free: 1-888-699-1199
-or-
Participants may listen to the webcast by registering via the following link https://app.webinar.net/J3vkMqkpjWl. A recorded version will be available under the same link immediately following the conclusion of the conference call.
To join the conference call without operator assistance, you may register and enter your phone number at https://emportal.ink/4kZzBjZ to receive an instant automated call back.
Forward Looking Statements
This press release includes forward-looking statements about goeasy, including, but not limited to, statements about its business operations, strategy and expected financial performance and condition. Forward-looking statements also include, but are not limited to, statements with respect to the Company’s anticipated cash flow generation, liquidity needs, ability to execute on its priorities, future availability under the Facilities, the Company’s anticipated compliance with the covenants thereunder, potential renewal of the Facilities, the Company’s intended use of cash on hand to repay certain senior unsecured notes, and the amount of net principal written, cash provided by operating activities before net principal written, gross loan originations and proceeds applied to repay existing loans, in each case, expected to be reported by the Company for the three months ended December 31, 2025. Forward-looking statements include statements that are predictive in nature, depend upon or refer to future events or conditions, and/or can be identified by the use of words such as “expect”, “continue”, “anticipate”, “intend”, “aim”, “plan”, “believe”, “budget”, “estimate”, “forecast”, “foresee”, “target” or negative versions thereof and similar expressions, and/or state that certain actions, events or results “may”, “could”, “would”, “might” or “will” be taken, occur or be achieved.
Forward-looking statements are based on certain factors and assumptions, including expected growth, results of operations and business prospects and are inherently subject to, among other things, risks, uncertainties and assumptions about the Company’s operations, economic factors and the industry generally. There can be no assurance that forward-looking statements will prove to be accurate, as actual results and future events could differ materially from those expressed or implied by forward-looking statements made by the Company. Some important factors that could cause actual results to differ materially from those expressed in the forward-looking statements include, but are not limited to, goeasy’s ability to enter into new lease and/or financing agreements, collect on existing lease and/or financing agreements, open new locations on favourable terms, offer products which appeal to customers at a competitive rate, respond to changes in legislation, react to uncertainties related to regulatory action, raise capital under favourable terms, compete, manage the impact of litigation (including shareholder litigation), control costs at all levels of the organization and maintain and enhance the system of internal controls.
The Company cautions that the foregoing list is not exhaustive. These and other factors could cause actual results to differ materially from our expectations expressed in the forward-looking statements, and further details and descriptions of these and other factors are disclosed in the Company’s most recent Management’s Discussion and Analysis, including under the section entitled “Risk Factors”. The reader is cautioned to consider these, and other factors carefully and not to place undue reliance on forward-looking statements, which may not be appropriate for other purposes. The Company is under no obligation (and expressly disclaims any such obligation) to update or alter the forward-looking statements whether as a result of new information, future events or otherwise, unless required by law.
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.
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 omni-channel 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 approximately 11,300 merchant partners across Canada. Throughout the Company’s history, it has acquired and organically served over 1.6 million Canadians and originated approximately $18.5 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 inclusion in TIME Magazine’s inaugural list of Canada’s Best Companies, 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 2024 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 90 nationalities who believe strongly in giving back to communities in which it operates. To date, goeasy has raised and donated over $6.7 million to support its long-standing partnerships with BGC Canada and many other local charities. goeasy Ltd.’s. common shares are listed on the TSX under the trading symbol “GSY”.
For more information about goeasy and our business units, visit www.goeasy.com, www.easyfinancial.com, www.lendcare.ca, www.easyhome.ca.
