Frontenac Mortgage Investment Corporation Announces Successful Transition to Advanced Capital as Administration and Management Services Provider

Successful Transition to Advanced Capital as Administration and Management Services Provider 

OTTAWA, ON, May 6, 2025 /CNW/ - Frontenac Mortgage Investment Corporation ("FMIC" or the "Company") announced on April 2, 2025 that it had entered into an administration agreement and a management agreement, each dated April 2, 2025, with Advanced Capital Corporation ("Advanced Capital") whereby Advanced Capital or its affiliates will provide administration and management services to FMIC (the "Advanced Administration Agreement" and the "Advanced Management Agreement", collectively the "Advanced Agreements").

Pursuant to the Advanced Agreements, Advanced Capital and/or its affiliates will provide the services necessary for FMIC to continue to wind-down its mortgage portfolio and return capital to investors as part of the Orderly Wind-Up Plan (as described in the information circular to the Special Shareholders' Meeting held on December 18, 2024).

The transition from the previous manager and administrator was successful, and Advanced Capital's term as manager and administrator commenced on May 1, 2025. The Advanced Agreements are for an initial term of one year and will automatically renew for a second year provided FMIC continues to hold mortgages and has not completed its wind-up. The Company also retains the ability to retain Advanced Capital for a further successive period, with fees to be negotiated in the event that FMIC has not been wound-up within the next two years.

As noted in FMIC's press release dated March 11, 2025, FMIC intends to return capital to investors through redemptions pursuant to the Pro Rata Redemption Plan described in Circular, and monthly dividends will no longer be paid.

More information about FMIC is available under FMIC's profile on SEDAR+ at www.sedarplus.com.

About Advanced Capital Corporation

Advanced Capital Corporation and its affiliated companies, based in Ottawa, ON, are actively involved in the management and administration of a local mortgage investment corporation incepted by the group in 2013. With strong ties to one of Ottawa's leading mortgage brokerages, the group leverages deep industry expertise to provide strategic oversight and tailored solutions in the private mortgage sector.

Forward-Looking Statements

This press release contains certain forward-looking statements and forward-looking information (collectively referred to herein as "forward-looking statements") within the meaning of applicable Canadian securities laws, which may include, but are not limited to, information and statements regarding or inferring the future business, operations, financial performance, prospects, and other plans, intentions, expectations, estimates, and beliefs of the Company. All statements other than statements of present or historical fact are forward-looking statements. Forward-looking statements are often, but not always, identified by the use of words such as "anticipate", "achieve", "could", "believe", "plan", "intend", "objective", "continuous", "ongoing", "estimate", "outlook", "expect", "may", "will", "project", "should" or similar words, including negatives thereof, suggesting future outcomes.

Forward-looking statements involve and are subject to assumptions and known and unknown risks, uncertainties, and other factors beyond FMIC's ability to predict or control which may cause actual events, results, performance, or achievements of FMIC to be materially different from future events, results, performance, and achievements expressed or implied by forward-looking statements herein. Forward-looking statements are not a guarantee of future performance. Although FMIC believes that any forward-looking statements herein are reasonable, in light of the use of assumptions and the significant risks and uncertainties inherent in such statements, there can be no assurance that any such forward-looking statements will prove to be accurate. Actual results may vary, and vary materially, from those expressed or implied by the forward-looking statements herein. Accordingly readers are advised to rely on their own evaluation of the risks and uncertainties inherent in forward-looking statements herein and should not place undue reliance upon such forward-looking statements. All forward-looking statements herein are qualified by this cautionary statement. Any forward-looking statements herein are made only as of the date hereof, and except as required by applicable laws, FMIC assumes no obligation and disclaims any intention to update or revise any forward-looking statements herein or to update the reasons that actual events or results could or do differ from those projected in any forward-looking statements herein, whether as a result of new information, future events or results, or otherwise.

SOURCE Frontenac Mortgage Investment Corporation