Core Insights - Everyday People Financial Corp. has successfully completed the sale of its remaining EP Homes inventory, marking the end of its legacy operations and a full transition to a fee-for-service business model [1][3][4] Financial Details - The sale to EAM Enterprises Inc. was valued at $3,954,959, which is a premium over the book value of $3,732,806, resulting in a gain of approximately $222,153 [2] - Proceeds from the sale were utilized to retire $3,031,378 in legacy housing-related debt, which had interest rates ranging from 5.74% to 13.5% [2] Strategic Implications - The transaction is deemed financially and strategically significant as it eliminates high-cost debt and allows the company to focus on its core platforms in Revenue Cycle Management and digital financial services [3][4] - The sale reduces exposure to real estate credit risk and capital-intensive assets, aligning with the company's strategic shift towards high-margin, technology-enabled solutions [3] Future Outlook - The company anticipates that the transaction will enhance key financial metrics, including debt-to-equity ratio, interest expense, and operating margin [4] - The company is now positioned to reinvest in its core businesses and pursue growth opportunities without the burden of non-core assets [4] Related Party Transaction - The transaction with EAM constitutes a related party transaction as EAM is wholly owned by Carrie Reykdal, spouse of the Executive Chairman [5] - The company is relying on exemptions from formal valuation and minority shareholder approval requirements due to the transaction's value not exceeding 25% of its market capitalization [6][7] Corporate Overview - Everyday People Financial Corp. operates on a fee-for-service model, providing financial services and card fees, and aims to enhance access to responsible credit [10][12] - The company has a workforce of over 625 people and operates in Canada and the United Kingdom, focusing on scalable and compliant financial solutions [12][14]