FLOW CAPITAL APPOINTS NEW CHIEF FINANCIAL OFFICER, PROVIDES COVID-19 IMPACT ASSESSMENT AND OTHER BUSINESS UPDATES - Seite 2

Flow Capital has a strong balance sheet and capital available to support our portfolio companies should they require financial support during these uncertain times. Flow Capital is also actively encouraging all portfolio companies to consider availing themselves of the government sponsored support programs that are now becoming available. 

Other Business Updates

Flow Capital has received the final C$1.5M payment relating to the sale of its LOGiQ Global Partners (“LOGiQ”) business to Ninepoint Financial Group Inc. The LOGiQ division was sold in April 2019 for a total consideration of $12.4M.

In addition, the Company continues to work to recover assets from non-performing past transactions wherever possible. In recent weeks, Flow Capital obtained default judgements on Lattice Biologics and Compression Generation. The Company is evaluating the options available as a result of these judgements. Flow will continue to pursue all avenues, including legal remedies if necessary, towards ensuring a fair return on all its investments.

“The team at Flow Capital will continue to monitor our portfolio companies and help them where we can. Flow Capital is in an enviable position with a strong balance sheet, with total cash on hand of more than C$10M. Nevertheless, we have plans in place to control costs and reduce expenses should that be necessary,” said Mr. Baluta. “While we will be deploying our capital cautiously, we are seeing an increase in opportunities from good prospects partially because the equity markets are being substantially disrupted due to COVID-19.”

About Flow Capital

Flow Capital Corp. is a diversified alternative asset investor and advisor, specializing in providing minimally dilutive capital to emerging growth businesses. To apply for financing, visit www.flowcap.com.

For further information, please contact:

Flow Capital Corp.

Alex Baluta
Chief Executive Officer
[e-mail] 
1 Adelaide Street East, Suite 3002,
PO Box 171,
Toronto, Ontario M5C 2V9

Forward-Looking Information and Statements

This press release contains certain “forward-looking information” within the meaning of applicable Canadian securities legislation and may also contain statements that may constitute “forward-looking statements” within the meaning of the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995. Such forward-looking information and forward-looking statements are not representative of historical facts or information or current condition, but instead represent only the Company’s beliefs regarding future events, plans or objectives, many of which, by their nature, are inherently uncertain and outside of the Company’s control. Generally, such forward-looking information or forward-looking statements 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”, or “believes”, or variations of such words and phrases or may contain statements that certain actions, events or results “may”, “could”, “would”, “might” or “will be taken”, “will continue”, “will occur” or “will be achieved”. The forward-looking information contained herein may include, but is not limited to, the impact COVID-19 will have on the Company's portfolio companies and the assessment of the recovery of assets from non-performing past transactions.