FRNT Financial Announces Initiation of Strategic Alternatives Review

TORONTO, May 13, 2026 /CNW/ - FRNT Financial Inc. (TSXV: FRNT) (OTCQB: FRFLF) (FSE: XZ3) (the "Company" or "FRNT") today announced that its board of directors (the "Board") has initiated a formal review of strategic alternatives intended to maximize shareholder value (the "Strategic Review").

Over the course of the past nine months, the Company has been approached on multiple occasions regarding potential transactions. Though none were ultimately consummated, the frequency, nature, and progression of these approaches have led the Board to conclude that there is meaningful realizable value in the Company that may not fully reflect its inherent or strategic value, and that a structured process is the appropriate means to evaluate and capture that value on behalf of all shareholders.

As part of the Strategic Review, the Company will consider a broad range of alternatives, including, but not limited to, an uplisting to a senior exchange, strategic investments, mergers, acquisitions, divestitures, a going-private transaction, a business combination, and the continued execution of the Company's existing standalone business plan.

In connection with the Strategic Review, FRNT has engaged Joseph Gunnar & Co., LLC ("Joseph Gunnar") to act as financial advisor to the Company. FRNT cautions that such engagement should not be viewed as an indication that any specific process or transaction will be pursued. There can be no assurance that the Strategic Review will result in any transaction or any particular outcome, and the Company does not intend to comment further on the process unless and until the Board has approved a specific transaction or otherwise determines that further disclosure is appropriate or required. The Strategic Review is ongoing, and the Company has not set a definitive timetable for its completion.

Stéphane Ouellette, CEO of FRNT, commented: "After a difficult period for the crypto-industry, our informal and formal conversations over the last months have shown an investor readiness to scale FRNT, rerate the business, and capture new emerging opportunities. With institutional tokenization finally emerging as a monetizable opportunity, the proliferation of institutional blockchain-based payments, and regulatory commitments giving investors more confidence, we believe this is the perfect time to investigate partners for the next chapter of FRNT's story and growth."

Throughout the Strategic Review, management of the Company remains focused on its day-to-day operations, executing its strategy and its commitment to its clients, shareholders, partners, and employees.

About FRNT
FRNT is a digital asset investment bank offering capital markets and advisory services to institutional investors participating in or entering the space. The Company aims to bridge the worlds of traditional and web-based finances with a technology forward and compliant operation. Business lines include deliverable trading services, structured derivative products, merchant banking, advisory, consulting, lending origination and principal investments. Headquartered in Toronto, FRNT was co-founded in 2018 by CEO Stéphane Ouellette.

Joseph Gunnar & Co., LLC
1000 RXR Plaza
Uniondale, NY 11556
(212) 440-9600
investmentbanking@jgunnar.com

Neither the TSXV nor its regulation services provider (as that term is defined in policies of the TSXV) accepts responsibility for the adequacy or accuracy of this news release.

FORWARD-LOOKING STATEMENTS

This press release contains "forward-looking statements" and "forward-looking information" within the meaning of applicable law which may include, without limitation, statements relating to the Strategic Review, the potential alternatives being considered, and the timing, scope and possible outcomes of the Strategic Review. Generally, forward-looking statements and forward-looking information can be identified by the use of forward-looking terminology such as "plans", "expects" or "does not expect", "is expected", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates" or "does not anticipate", "believes", or variations of such words and phrases or statements that certain actions, events or results "may", "could", "would", "might" or "will be taken", "occur" or "be achieved". All forward-looking statements and forward-looking information are based on reasonable assumptions that have been made by the Company as at the date of such information. Forward-looking statements and forward-looking information are subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of the Company to be materially different from those expressed or implied by such forward-looking statements and forward-looking information, including, without limitation, the risk that any potential transaction considered in connection with the Strategic Review may not be completed on acceptable terms or at all, the general risks associated with the speculative nature of the Company's business, current global financial conditions, uncertainty of additional capital, price volatility, no history of earnings, government regulation in the industries in which the Company operates, political and economic risk, financing availability, prevailing market conditions for cryptocurrencies, disruption of FRNT's information technology systems, protection of sensitive data used or stored by FRNT, limited history and market for cryptocurrencies, the perception and treatment of cryptocurrencies by both the public and governmental authorities, new regulations regarding cryptocurrencies may be introduced by governmental authorities, absence of public trading market, arbitrary offering price, dilution to the common shares in the capital of the Company, dependence on key personnel, currency fluctuations, insurance and uninsured risks, competition, legal proceedings, conflicts of interest and lack of dividends. Although the Company has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking statements and forward-looking information, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements or information. Accordingly, readers should not place undue reliance on forward-looking statements or forward-looking information. The Company does not undertake to update any forward-looking statement or forward-looking information that is included herein, except in accordance with applicable securities laws.

SOURCE FRNT Financial Inc.

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