Unlocking Pipeline for Signed Deals With
Thousands of Fortune 100 Employees
XTM Inc. (“XTM” or the “Company”) (QB: XTMIF / CSE:PAID /
FSE:7XT), a Miami and Toronto-based Fintech creator of disruptive
payment innovations is pleased to announce that it has approval of
a financing, totaling up to USD $90,000,000 with access to up to
$30,000,000 for the initial funding and options to request
$20,000,000 and thereafter increments of $25,000,000 as the
requirements for Earned Wage Access. Concurrent and before the
initial draw of the debt facility, the Company will close an
additional $5M USD of convertible debentures as is a condition of
the loan funding.
With the recent closing of the Qrails acquisition, the Company
has been focused on boarding the backlog of signed deals onto the
Qrails AnyDay™ EWA platform. To date, the Company has been using
internal dollars to fund the EWA advances. Now with several Fortune
100 clients in or nearing implementation phase, a large debt
facility was required to support the imminent growth needs. As the
AnyDay™ EWA solution continues to see penetration rates of existing
clients increase month over month, it is difficult to determine how
many users the full USD $90M debt facility will support however,
the Company anticipates it should take us well into 2024.
“We are bullish about our opportunity, with more than 200
million people in the US likely to access their earned wages
mid-pay cycle due to personal financial short falls, combined with
our access to this market through signed contracts,” said Marilyn
Schaffer, CEO, XTM. “Pay day loans are no longer the go-to
life-emergency option now, with our fully SAP certified AnyDay™
solution already in action and poised to scale to enable millions
of workers access to their earnings in seconds.”
About XTM
XTM is a Miami and Toronto-based fintech innovator founded in
the cloud-banking space and further helping businesses inspire
their workforce in the hospitality, personal care and services
staffing industries. Established as a leader in on-demand pay with
many large brands including Earls, Maple Leaf Sports &
Entertainment, Cactus Club, Marriott Hotels and Live Nation, XTM
continues to innovate with further digital featurization to support
businesses to inspire workers to want to work more with shift
scheduling and call-outs, staff management, expense management,
in-app health and financial wellness; and gamified loyalty
programs. XTM’s Today Financial™ is in use through POS and Payroll
integrations and directly through web portals by thousands of
businesses and their workers across Canada and the United States.
For more information, please visit www.xtminc.com.
About QRails
QRails, a fully owned subsidiary of XTM, is a cloud-based,
API-driven issuer-processor enabling payroll providers, financial
institutions and other global fintech companies to keep up with the
on-demand economy by delivering innovative digital payment
solutions to their employees. QRails helps companies modernize and
leverage payroll as a differentiator in attracting and retaining
talent all at low to no cost for the employee and employer. QRails’
flagship solution, AnyDayTM, is the first provider to own their
full tech stack that powers their Earned Wage Access solution.
SAP-certified, QRails also has earned several industry
certifications under PCI DSS, and SOC. For more information, please
visit www.QRails.com.
This news release contains “forward-looking information” and
“forward-looking statements” within the meaning of applicable
securities laws (the “forward-looking statements”), within the
meaning of applicable Canadian securities legislation, including
statements relating to the integration of QRails and its employees,
technology and efficiencies into the business of the Company, the
Company gaining operational momentum and commercial efficiencies as
a result of the Transaction, and the ability of the QRails to
collaborate with the Company and for the Company to continue
servicing its current new clients and QRails clients, the Company
expanding its services and client base, the Company benefiting from
efficiencies from the Transaction, the Company securities based
incentive plans attracting and retaining employees and management,
and the speed and scale of the Company expanding into different
markets. Forward-looking statements are statements that are not
historical facts and are generally, although not always, identified
by words such as “expect,” “plan,” “anticipate,” “project,”
“target,” “potential,” “schedule,” “forecast,” “budget,”
“estimate,” “intend” or “believe” and similar expressions or their
negative connotations, or that events or conditions “will,”
“would,” “may,” “could,” “should” or “might” occur. All such
forward-looking statements are based on the opinions and estimates
of management as of the date such statements are made. These
forward-looking statements are made as of the date of this news
release. Readers are cautioned not to place undue reliance on
forward-looking statements, as there can be no assurance that the
future circumstances, outcomes or results anticipated in or implied
by such forward-looking statements will occur or that plans,
intentions or expectations upon which the forward-looking
statements are based will occur.
While we have based these forward-looking statements on our
expectations about future events as at the date that such
statements were prepared, the statements are not a guarantee that
such future events will occur and are subject to risks,
uncertainties, assumptions and other factors which could cause
events or outcomes to differ materially from those expressed or
implied by such forward-looking statements. Such factors and
assumptions include, among others, the Company’s ability to raise
capital; the Company’s ability to integrate QRails and its
technology into the business of the Company, the maintenance of
existing operations of QRails in its current markets and capacity
to scale into new markets, market acceptance and demand of the
QRails technology and related products, the success of securities
based incentive plans and retaining and attracting employees, the
effects of general economic conditions, changing foreign exchange
rates and actions by government and regulatory authorities, the
effects of COVID-19, both positive and negative, the future of the
market for XTM programs and misjudgments in the course of preparing
forward-looking statements. In addition, there are known and
unknown risk factors which could cause our actual results,
performance or achievements to differ materially from any future
results, performance or achievements expressed or implied by the
forward-looking statements. Known risk factors include risks
associated with the impact of general business and economic
conditions, the ability of the Company to successfully integrate
QRails into its existing operations and gaining efficiencies, if
any, from collaboration; unexpected changes in market and
technological trends and governmental policies and regulations
affecting the Company, XTM’s ability to continue onboarding
clients, risks related to global pandemics, influence of
macroeconomic developments, business opportunities that become
available to, or are pursued by XTM; reduced access to debt and
equity capital, litigation, increasing interest rates, the
volatility of the stock market, competition, future sales or
issuances of debt or equity securities, use of proceeds, dividend
policy and future payment of dividends, liquidity, and the market
for XTM’s securities. Although we have attempted to identify
important factors that could cause actual actions, events or
results to differ materially from those described in
forward-looking statements, there may be other factors that cause
actions, events or results not to be as anticipated, estimated or
intended. 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 anticipated in such statements.
Accordingly, readers should not place undue reliance on
forward-looking statements. We are under no obligation to update or
alter any forward-looking statements except as required under
applicable securities laws. For the reasons set forth above, undue
reliance should not be placed on forward-looking statement.
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version on businesswire.com: https://www.businesswire.com/news/home/20230928259702/en/
For further information, please visit: www.xtminc.com or
contact: Marilyn Schaffer 416.260.1641 finance@xtminc.com
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