Mr. Sruli Weinreb reports

FINDEV INC. ANNOUNCES CCAA PROCEEDINGS INVOLVING 1682 VICTORIA PARK AVENUE INC. AND RELATED PARTY SUBORDINATION ARRANGEMENT

Pursuant to an order of the Ontario Superior Court of Justice (Commercial List) made on July 17, 2026, 1682 Victoria Park Avenue Inc. was granted protection under the Companies' Creditors Arrangement Act (Canada). The initial order was granted on application by 1682 Victoria Park's creditor, Findev Lending Inc., a subsidiary of Findev Inc.

Albert Gelman Inc. was appointed as monitor in the CCAA proceedings (in such capacity, the monitor). The initial order granted a stay of proceedings until and including July 24, 2026. A motion is scheduled to be heard on July 24, 2026, to, among other matters, extend the stay of proceedings. The stay of proceedings may be extended, as necessary, pursuant to further orders of the court.

As previously disclosed in Findev's interim financial statements and management's discussion and analysis for the three months ended March 31, 2026 (the Q1 filing materials), Findev Lending has loan exposure to 1682 Victoria Park. As at March 31, 2026, the amounts disclosed in the Q1 filing materials included approximately $5.3-million of principal outstanding and approximately $13.2-million of accrued interest, fees and other amounts, for aggregate disclosed exposure of approximately $18.5-million, against which an expected credit loss reserve of $8.7-million was recorded, in each case subject to applicable adjustments, costs, interest accruals, recoveries and determinations in the CCAA proceedings.

The CCAA proceedings may affect the timing, amount and certainty of any recoveries by Findev Lending in respect of such indebtedness. Findev is currently assessing the potential impact of the CCAA proceedings on the recoverability and carrying value of the indebtedness, including any required allowance, impairment, writedown or other accounting treatment, and is updating its second quarter disclosure materials, including its interim financial statements and management's discussion and analysis for the period ended June 30, 2026 (the Q2 filing materials). The Q2 filing materials will be released and filed as required under applicable securities laws and will contain updated information accordingly.

Related party financing and subordination

In connection with the CCAA proceedings, Helmsbridge Holdings Ltd., a company controlled by Anthony Heller, is providing financing to 1682 Victoria Park to finance continuing interest payable to senior lenders, project preservation costs, construction-completion costs, sale-process costs, and other expenditures necessary to protect the project and the company's existing secured position. The company has agreed to postpone and subordinate its security and other interests in favour of Helmsbridge in respect of all funds advanced by Helmsbridge to 1682 Victoria Park under the Helmsbridge financing. Plazacorp Investments Ltd. and Mr. Heller have guaranteed the first-ranking mortgage loan secured against the Victoria Park project, under which approximately $24.3-million remains outstanding. The first-ranking mortgage ranks ahead of the company's security over the property.

Helmsbridge is a related party of the company within the meaning of Multilateral Instrument 61-101 -- Protection of Minority Security Holders in Special Transactions (MI 61-101) as a company controlled by Anthony Heller, an insider of the company, and the subordination accordingly constitutes a related party transaction under MI 61-101. The company intends to rely on available exemptions from the formal valuation and minority approval requirements of MI 61-101, including the exemptions available where, among other things, the fair market value of the subject matter of, or consideration for, the related party transaction does not exceed the applicable percentage of the company's market capitalization and/or where the company is in serious financial difficulty and the transaction is designed to improve its financial position. In determining that the Subordination is fair and reasonable in the circumstances, the company considered, among other things, that the Helmsbridge financing is being provided in connection with the CCAA proceedings under the supervision of the court and with the oversight of the monitor, that the funds are intended to maintain, preserve or enhance the value of the Victoria Park project and the collateral securing the company's existing indebtedness, that the financing is expected to finance expenditures necessary to protect the project and support an orderly restructuring or realization process, that the company's secured position is already subordinate to the first-ranking mortgage loan, that the current financial condition of 1682 Victoria Park and the Victoria Park project limits the practical alternatives available to the company, and that the Helmsbridge financing is being provided without fees or interest. The company believes that, in the circumstances, facilitating the Helmsbridge financing through the subordination is commercially reasonable and appropriate and may assist in maintaining or improving the company's prospects of recovery in the CCAA proceedings.

Helmsbridge has agreed to advance up to $10-million, of which approximately $7.3-million has been provided to 1682 Victoria Park. 1682 Victoria Park is at arm's length to both Findev and Helmsbridge. There will be no fees or interest being charged by Helmsbridge for this loan.

Findev is issuing this news release to provide timely disclosure regarding the CCAA proceedings, the Helmsbridge financing, the subordination, the first-ranking mortgage guarantee arrangements and related developments that may be material to Findev and its securityholders. This news release is intended to summarize the nature and substance of the material change and to provide sufficient disclosure to enable investors to appreciate the significance and potential impact of these matters on Findev without having to refer exclusively to other materials. Findev expects to file a material change report, if and to the extent required under applicable Canadian securities laws, including National Instrument 51-102 -- Continuous Disclosure Obligations, within the prescribed time frame.

Findev will continue to monitor the CCAA proceedings, the July 24, 2026, motion and any further orders of the court, and will provide further disclosure regarding material developments, including any material change to the amount, collectability, timing of recovery, priority of security, guarantee exposure or accounting treatment of the indebtedness, as required by applicable securities laws and the rules and policies of any applicable stock exchange or marketplace. Copies of court materials and reports filed in connection with the CCAA proceedings are expected to be available through the monitor and/or as otherwise filed in accordance with applicable procedures.

About Findev Inc.

Findev is a publicly traded real estate finance company focused on financing real estate developers with shorter-term loans of one to five years during the development or redevelopment process. Loans are secured by investment properties and real estate developments throughout the Greater Toronto Area. Findev's unique market advantages include its expertise in real estate development and access to its real estate development partners. As a result, Findev is uniquely suited to assist developers engaged in challenging projects.

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