Proceeds to Fund Growth of Lending Products

EDMONTON, AB, May 6, 2024 /CNW/ - Cashco Financial Inc. ("Cashco" or the "Company"), a leader within the alternative lending space, today announced the successful close of a US$50M debt investment agented by Bastion Management ("Bastion"), a private investment firm, to refinance an existing senior lender and fund the growth of Cashco's consumer lending portfolio. The transaction was facilitated with the guidance of Stephens as Exclusive Financial Advisor.

The debt investment will empower Cashco to strengthen its position in the market and drive growth of the company's lending products, while setting the stage for an enhanced consumer protection framework, an innovative product development roadmap and a focus on technological advancement.

"Securing Stephens and Bastion as a partner is a significant milestone, initiating a new phase of growth for Cashco and serving as a testament to our historical performance and present position within the marketplace," said Lindsay Dodd, Chief Executive Officer of Cashco. "As the affordability crisis deepens, our growth is motivated by the rising need for a range of products and services that meet the demands of a diverse and growing group of financially excluded Canadians."

Since its founding, Cashco has challenged the status quo within the subprime lending industry through its customer-focused service model. Many Canadians remain underserved by the traditional banks, lacking access to financial products and services. Cashco works closely with clients to address complex financial needs through unsecured consumer installment loans, while also providing guidance around improving financial health and literacy.

"With a meticulous focus on operations and a steadfast commitment to nurturing a vibrant employee culture and exceptional client service, Cashco embodies the very essence of our investment criteria and deeply resonates with our core values," said Tim Reimink, Partner at Bastion. "This partnership signifies an era of growth for Cashco within the Canadian alternative lending market, while enriching the financial landscape for those they serve."

About Cashco Financial 
Based in Edmonton, Alberta, Canada, Cashco provides alternative credit products and services to Canadian consumers through a branch and online-based model. Since 2009, Cashco has originated CAD $1.3 billion of loans and has built a loyal customer base through a high-touch customer-centric approach. Learn more at cashcofinancial.com.

About Bastion Management
Bastion is a private investment firm that provides creative financing solutions to small and midsized businesses operating in the alternative finance space throughout North America and in the UK. Over a decade since its inception, Bastion now has closed over 40 transactions and over $1.2bn in total commitments to traditional consumer lending platforms and emerging companies in the financial technology industry. Bastion has a successful track record partnering with companies that have strong management teams and committed equity backing in support of the initial growth stage through to public listing.

About Stephens
Stephens is the company brand name for a group of financial service firms owned by the Stephens family. The U.S. investment banking arm, Stephens Inc. is headquartered in Little Rock, Arkansas. Founded in 1933, Stephens Inc. provides securities brokerage, investment banking and other financial services to a broad client base which includes corporations, state and local governments, financial institutions, institutional investors and individual investors throughout the United States and overseas. Stephens Inc. (Home Office: 111 Center Street, Little Rock, AR USA, 501-377-2000) is regulated by the Securities and Exchange Commission and the Financial Industry Regulatory Authority. Member SIPC/NYSE. For more information, visit www.stephens.com.

SOURCE Cashco Financial

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