NOTICE TO READER: PLEASE BE ADVISED THAT THE NEWS RELEASE DATED MARCH 24, 2026, HAS BEEN REFILED TO INCLUDE THAT THE COMPANY'S ANNUAL INFORMATION FORM WILL BE PART OF THE DELAYED FILINGS WHICH WAS INADVERTENTLY OMITTED FROM THE ORIGINAL NEWS RELEASE. NO OTHER CHANGES HAVE BEEN MADE TO THIS NEWS RELEASE.Toronto, Ontario--(Newsfile Corp. - March 25, 2026) - Vertiqal Studios Corp. (TSX: VRTS) (FSE: 9PY0) ("Vertiqal" or the "Company") announces that it anticipates being late in filing its audited annual financ ...

Toronto, Ontario--(Newsfile Corp. - March 24, 2026) - Vertiqal Studios Corp. (TSX: VRTS) (FSE: 9PY0) ("Vertiqal" or the "Company") announces that it anticipates being late in filing its audited annual financial statements (the "Annual Financial Statements"), management discussion and analysis ("MD&A") and certificates of the Chief Executive Officer and Chief Financial Officer (collectively, the "Filings") for the year ended December 31, 2025, by the prescribed deadline of March 31, 2026.On September 2, 202 ...

Core Viewpoint - Virtus Dividend, Interest & Premium Strategy Fund has announced the renewal of its share repurchase program, aiming to enhance shareholder value by repurchasing up to 5% of its outstanding common shares at a discount to NAV [1] Group 1: Share Repurchase Program - The Board of Trustees approved the renewal of the open market share repurchase program initially approved in February 2025 [1] - The Fund may repurchase up to 5% of its outstanding common shares based on the shares outstanding as of March 4, 2026 [1] - The Fund has previously repurchased 1,834,337 shares for a total cost of $23.4 million under the program [1] Group 2: Fund Objectives and Strategy - Virtus Dividend, Interest & Premium Strategy Fund seeks current income and gains, with long-term capital appreciation as a secondary objective [1] - The Fund generally invests approximately 75% of its total assets in equity securities and approximately 25% in convertible securities [1] - The Fund employs an option strategy of writing covered call options on equity securities held in the Fund [1] Group 3: Fund Management and Contact Information - Virtus Investment Advisers, LLC is the investment adviser to the Fund, with NFJ Investment Group and Voya Investment Management as subadvisers [1] - For more information, shareholders can contact services at (866) 270-7788 or via email at closedendfunds@virtus.com [1]

Price Target Adjustments - Analysts have recently adjusted their price targets for Virtus Investment Partners, with Piper Sandler lowering their target from $218.00 to $206.00 while maintaining an "overweight" rating [1] - Morgan Stanley reduced their price objective from $168.00 to $155.00, assigning an "underweight" rating [1] - Zacks Research upgraded the stock from a "strong sell" to a "hold" rating [1] - TD Cowen decreased their price target from $180.00 to $173.00, also giving a "hold" rating [1] - Barclays reiterated an "underweight" rating with a price objective of $142.00 [1] - The consensus price target for Virtus Investment Partners is currently $169.00, with an average rating of "Reduce" [1] Financial Metrics - Virtus Investment Partners has a market capitalization of $900.41 million and a P/E ratio of 7.96 [2][3] - The company has a debt-to-equity ratio of 0.27, a quick ratio of 11.86, and a current ratio of 11.86 [2][3] - The fifty-day simple moving average is $154.99, while the 200-day simple moving average is $169.54 [2][3] Dividend Information - The company announced a quarterly dividend of $2.40 per share, payable on May 13th, with an annualized dividend of $9.60 and a yield of 7.1% [4] - The dividend payout ratio (DPR) is currently 48.02% [4] Institutional Holdings - Institutional investors hold 80.52% of Virtus Investment Partners' stock [5] - State Street Corp increased its stake by 0.5%, now owning 306,375 shares valued at approximately $49.99 million [5] - Charles Schwab Investment Management Inc. raised its holdings by 1.0%, owning 300,098 shares worth about $48.96 million [5] - Dimensional Fund Advisors LP grew its holdings by 2.4%, now owning 297,128 shares valued at around $48.48 million [5] - Victory Capital Management Inc. increased its stake by 7.0%, owning 245,344 shares valued at approximately $40.03 million [5] - American Century Companies Inc. raised its position by 23.8%, now owning 155,881 shares worth about $29.62 million [5] Stock Performance - Virtus Investment Partners' stock price recently hit a new 52-week low of $131.87, with the last trade at $133.28 [7]

Assets Under Management - Total assets under management as of December 31, 2025, reached $159.5 billion, with open-end funds accounting for $52.8 billion and institutional accounts for $53.0 billion[25][34]. - Retail separate accounts held $43.1 billion in assets, with intermediary-sold managed accounts contributing $34.3 billion and wealth management accounts $8.8 billion[25][31]. - Closed-end funds had total assets of $10.6 billion, with multi-asset funds comprising $7.6 billion of that total[29]. - Other fee-earning assets amounted to $1.8 billion as of December 31, 2025, which are not included in total assets under management[36]. - Total assets under management decreased to $159.5 billion, down $15.5 billion, or 8.9%, from $175.0 billion in 2024[136]. - Equity assets under management decreased by $18.2 billion, or 18.1%, to $82.6 billion in 2025[142]. - 24% of total assets under management outperformed their benchmarks in 2025[148]. Revenue and Fees - Investment management fees for 2025 totaled $725.0 million, a decrease from $773.8 million in 2024, while total revenue from investment management, administration, and shareholder services was $798.3 million[37]. - The company earns investment management fees primarily based on portfolio size and complexity, with performance-related fees for institutional accounts if returns exceed agreed targets[39]. - Management fees for open-end funds ranged from 0.25% to 2.15%, depending on the asset class and fund structure[27]. - The average management fee earned decreased to 41.2 basis points in 2025 from 42.0 basis points in 2024[144]. - Total revenues for 2025 were $852.9 million, a decrease of $54.1 million, or 6.0%, compared to $906.9 million in 2024[132]. - Investment management fees fell by $48.8 million, or 6.3%, primarily due to decreased average assets under management and a lower average fee rate[154]. Strategic Transactions - The company acquired a 35% minority interest in Crescent Cove Advisors, which focuses on private credit, on December 15, 2025[22]. - The company acquired a 35% minority interest in Crescent Cove Advisors for $41.1 million on December 15, 2025[133]. - An agreement was made to acquire a majority interest in Keystone National Group for $200.0 million, with up to an additional $170.0 million in deferred consideration[134]. - The company has engaged in several strategic transactions, leading to significant increases in assets under management and expansion of product offerings[67]. Employment and Talent - As of December 31, 2025, the company employed 801 individuals across the U.S., U.K., and Singapore, focusing on creating an inclusive work environment[59]. - The company offers competitive salaries and benefits, including wellness programs and education assistance, to attract and retain talent[60]. - The company’s ability to attract and retain key employees is critical, and losing such personnel could negatively impact financial performance[75]. Financial Condition - As of December 31, 2025, the company had $399.0 million in total debt outstanding and no borrowings under its $250.0 million revolving credit facility[73]. - The company had $305.3 million invested in marketable securities, including $189.4 million in marketable securities and $115.9 million in net investments in CLOs[88]. - The company has unused capacity under its revolving credit facility of $250.0 million, which may be needed for future business initiatives[74]. - The carrying value of goodwill as of December 31, 2025, was $397.1 million, with no impairment identified during the annual assessment[196]. - The carrying value of indefinite-lived intangible assets was $42.3 million, with no impairments identified as of October 31, 2025[197]. - The carrying value of definite-lived intangible assets was $285.1 million, with amortization calculated on a straight-line basis[198]. Operational Risks - The company is subject to extensive regulatory compliance, which may increase operational costs and impact profitability[58]. - The company is subject to extensive regulations, and changes in these regulations could increase operational costs and negatively impact profitability[89]. - The company relies on third-party service providers for investment management services, and issues with these firms could adversely affect revenues and profitability[80]. - Investment management agreements can be terminated on short notice, posing risks to the company's revenue stability[68]. - Negative investor confidence and market conditions could lead to decreased assets under management and adversely affect revenues and earnings[1]. - The company’s investment strategies are vulnerable to performance assessments by third parties, which could lead to increased withdrawals from clients[2]. - The company’s technology systems are critical to operations, and any failures or breaches could result in financial loss and reputational damage[83]. - The company faces substantial risks of liability from litigation and regulatory investigations, which could adversely affect its business[93]. Cash Flow and Investments - Operating cash flow for 2025 was a net cash used of $67.2 million, a significant decrease of $68.9 million from cash provided of $1.8 million in 2024[185]. - Cash used in investing activities increased to $47.3 million in 2025 from $17.0 million in 2024, a 179.3% increase[186]. - Financing activities generated net cash of $191.0 million in 2025, up 154.9% from $74.9 million in 2024, primarily due to a $183.7 million increase in net borrowings[187]. - The company refinanced its credit agreement, securing a $400.0 million term loan and a $250.0 million revolving credit facility[188]. Shareholder Returns - A quarterly cash dividend of $2.40 per common share was declared on February 25, 2026, to be paid on May 13, 2026[116]. - The company repurchased a total of 347,364 common shares for $60.0 million during the year ended December 31, 2025[118]. - As of December 31, 2025, 805,948 shares remained available for repurchase under the share repurchase program[117]. - The company has 6,695,515 shares of common stock outstanding held by approximately 36,000 holders of record as of February 11, 2026[114]. Tax and Compliance - The company is subject to ongoing tax audits in various jurisdictions, which could result in additional taxes and penalties[95]. - The company accounts for income taxes under ASC 740, recognizing current taxes payable and deferred tax assets and liabilities[209]. - Significant judgment is required in determining the provision for income taxes, including estimates of future taxable income and the realizability of deferred tax assets[210]. Economic Factors - Inflationary pressures may negatively impact profitability and the value of managed assets, potentially leading to reduced revenues[177]. - The effective tax rate increased to 27.4% in 2025 from 26.7% in 2024, primarily due to changes in valuation allowances related to lower realized and unrealized gains[176].

Core Viewpoint - Virtus Investment Partners has maintained a quarterly dividend of $2.40 per share, reflecting a 6.56% yield, but faces significant cash flow challenges that may jeopardize its ability to sustain this payout strategy [2][8]. Dividend Growth and Cash Flow - The recent dividend of $2.40 marks a 6.7% increase from the previous quarter's $2.25, continuing a trend of annual increases in the fourth quarter [3]. - Over the past decade, the company has achieved a compound annual growth rate (CAGR) of approximately 16%, growing its quarterly dividend from $0.45 in 2014 to $2.40 today [3]. - In fiscal 2024, Virtus generated only $1.8 million in operating cash flow, a dramatic 99.3% decline from $237.2 million in the prior year, while paying out $58.1 million in dividends, resulting in a payout ratio exceeding 3,000% based on operating cash flow [4][6]. Financial Metrics - The current dividend yield stands at 6.56%, with a payout ratio based on operating cash flow at 3,312% [5]. - The company borrowed $74.9 million to fund dividends and buybacks amid the cash flow collapse [6]. - Operating cash flow rebounded to $108.3 million in Q3 2025 after the significant drop in 2024 [6]. Market Position and Valuation - Virtus's trailing P/E ratio is 7.1x, and the forward P/E is 7.66x, indicating that the market is factoring in considerable challenges [10]. - The net income for fiscal 2024 was $152.5 million, leading to a dividend payout ratio of 38% based on earnings, which appears sustainable, although cash flow remains a critical concern for dividend investors [10]. Operational Challenges - The decline in cash flow is attributed to operational difficulties, with assets under management decreasing by 9% year-over-year to $159.5 billion, driven by $8.1 billion in net outflows during Q4 2025 [11]. - Large-cap growth and small/mid-cap equity strategies experienced significant redemptions from both institutional and retail clients [12].

Core Insights - Virtus Investment Partners has paid a dividend of $2.40 per share, continuing a decade-long streak of quarterly distributions, but faces significant cash flow challenges that raise questions about the sustainability of its payout strategy [1] Dividend Performance - The recent quarterly dividend of $2.40 represents a 6.7% increase from the previous quarter's $2.25, maintaining a pattern of increasing payouts in the fourth quarter [1] - Over the past decade, the quarterly dividend has grown from $0.45 in 2014 to $2.40 today, reflecting a compound annual growth rate of nearly 16% [1] Cash Flow Concerns - In fiscal 2024, Virtus generated only $1.8 million in operating cash flow, a dramatic 99.3% decline from $237.2 million the previous year, while paying out $58.1 million in dividends, resulting in a payout ratio exceeding 3,000% based on operating cash flow [1] - The company's cash flow issues are compounded by a decline in assets under management, which fell 9% year-over-year to $159.5 billion, driven by $8.1 billion in net outflows during Q4 2025 [1] Financial Metrics - The current stock price of $139.14 offers a trailing yield of 6.56%, significantly higher than the asset management industry average of 1.92% [1] - The trailing P/E ratio is 7.1x, and the forward P/E is 7.66x, indicating that the market is pricing in considerable challenges [1] Operational Challenges - Revenue declined by 11% to $208.0 million in Q4 2025, with operating margins compressing to 19.1% as fee income decreased faster than expenses could be cut [1] - The stock has decreased by 20.3% over the past year and 35.5% over five years, although the 10-year return remains positive at 106% [1] Capital Allocation - Virtus has committed to share buybacks, repurchasing 60,292 shares for $10 million in Q4 2025 and spending $50 million on buybacks in the first nine months of 2025 [1] - The company recorded $74.9 million in positive cash flow from financing in fiscal 2024, indicating reliance on borrowing to fund shareholder returns [1] Recent Improvements - Operating cash flow showed signs of recovery, reaching $108.3 million in Q3 2025, providing 7.0x dividend coverage [1] - The ETF business generated $600 million in positive net flows, suggesting some product lines are performing well despite overall outflows [1] Overall Assessment - Virtus Investment Partners has received a C grade for dividend quality, with the 6.56% yield being attractive but overshadowed by the fiscal 2024 cash flow crisis and ongoing asset outflows [1] - The disconnect between net income and operating cash flow raises sustainability concerns for the dividend, although recent quarterly improvements may indicate a potential turnaround [1]

Core Viewpoint - Deep Grains Holdings Ltd and Maximilien Xavier Desmarais have acquired an additional 18,072,000 common shares of Vertiqal Studios Corp, increasing their ownership stake to 13.8% of the company's issued and outstanding shares on a partially diluted basis [1][3]. Group 1: Acquisition Details - The Acquirors, prior to the transaction, held 110,552,253 common shares, which included 37,541,000 issued shares and a convertible debenture convertible into 73,011,253 common shares [2]. - After the transaction, the total number of common shares owned by the Acquirors is now 128,624,253, which includes 55,613,000 issued shares and the same 73,011,253 shares from the convertible debenture [3]. Group 2: Future Intentions - The Acquirors may acquire additional common shares or other securities of Vertiqal Studios Corp in the future, depending on market conditions and the company's business prospects [4]. - Currently, the Acquirors have no immediate intention to acquire more securities but may evaluate their position based on the company's financial condition and market factors [5]. Group 3: Regulatory Compliance - This press release is issued in compliance with the early warning requirements of National Instrument 62-103, which mandates filing on SEDAR+ along with an Early Warning Report related to the transaction [6].

Core Viewpoint - The Acquiror, Razvan Romanescu, disposed of 18,000,000 common shares of Vertiqal Studios Corp, reducing their ownership stake in the company. Group 1: Ownership Changes - Prior to the transaction, the Acquiror held 99,763,516 common shares, which included 96,259,583 issued shares and a convertible debenture convertible into 3,503,933 common shares, representing 11.57% of the total issued shares on a partially diluted basis [2] - After the transaction, the Acquiror's ownership decreased to 81,764,516 common shares, which includes 78,259,583 issued shares and the same 3,503,933 shares from the convertible debenture, now representing 9.48% of the total issued shares on a partially diluted basis [3] Group 2: Future Intentions - The Acquiror may acquire additional common shares or other securities of the Issuer in the future, depending on market conditions and the Issuer's business prospects [4] - The Acquiror disposed of the shares for investment purposes and currently has no intention of acquiring more securities, but may reconsider based on the Issuer's financial condition and market factors [5] Group 3: Regulatory Compliance - The press release is issued in accordance with the early warning requirements of National Instrument 62-103, which mandates filing on SEDAR+ along with an Early Warning Report related to the transaction [6]

Core Viewpoint - Virtus Investment Partners Inc has launched the Virtus Emerging Markets Dividend ETF, focusing on dividend-paying companies in developing economies, utilizing AI-driven sentiment analysis and a quantitative stock-selection model to identify opportunities linked to the MSCI Emerging Markets Index [1][6] ETF Growth and Financial Performance - Despite mixed business conditions and higher net outflows, ETFs have shown significant growth, with assets rising to approximately $5.2 billion, an increase of about $500 million sequentially and 72% year-over-year, driven by steady net inflows and new product launches [2][3] - Overall assets under management decreased to nearly $159 billion at year-end from $169 billion in the previous quarter, with net outflows totaling $8.1 billion primarily due to equity strategies [4] Strategic Initiatives - The firm is expanding into alternative assets, announcing a pending majority acquisition of private credit manager Keystone National Group and a minority investment in venture growth manager Crescent Cove, with expectations of fee rates remaining in the low-40-basis-point range initially [5] - The introduction of the new emerging-markets dividend ETF reflects Virtus' strategy to enhance its actively managed ETFs and alternative strategies, which are seen as essential for countering equity outflows and fostering future growth [6]