Banxa Announces Filing of Application for Management Cease Trade Order and Auditor Confirms Audit Completion by 20th of November 2023

TORONTO, Oct. 30, 2023 (GLOBE NEWSWIRE) -- Banxa Holdings Inc. (TSXV: BNXA) (OTCQX: BNXAF) (FSE: AC00) ("Banxa" or the "Company") announces today that it will miss its filing deadline of October 30, 2023 to file audited annual financial statements and accompanying management's discussion and analysis and related CEO and CFO certificates for the year ended June 30, 2023 (collectively, the "Annual Filings"), as required under applicable Canadian securities laws.

In connection with the Company's inability to file the Annual Filings on time, the Company has received approval of a Management Cease Trade Order ("MCTO") under National Policy 12-203 – Management Cease Trade Orders ("NP 12-203") from the British Columbia Securities Commission, which will be instituted on November 1, 2023.

Banxa applied for a MCTO as a result of delays caused by the transition to a new audit firm. Our auditor, PKF Antares Professional Corporation (“PKF”), has made substantial progress in the audit. Most importantly, PKF has not identified any findings to date. Similar to Banxa’s previous auditors, PKF had a meaningful learning curve to overcome due to the complexity of auditing a crypto payments firm with global operations and millions of transactions completed annually. PKF has committed to completing its full review and signing off on the Annual Filings by no later than November 20, 2023. Banxa will issue a news release once the Annual Filings have been filed.

During the MCTO, the general investing public will continue to be able to trade in the Company's common shares listed on the TSX Venture Exchange. However, the Company's Chief Executive Officer and Chief Financial Officer and such other directors, officers and persons as determined by the applicable regulatory authorities will not be able to trade in the Company's shares, nor will the Company be able to, directly or indirectly, issue securities to or acquire securities from an insider or employee of the Company except in accordance with legally binding obligations to do so existing as of October 30, 2023, being the date of the Company’s anticipated continuous disclosure default.

Management Change

Gregor Cooney, Chief Marketing Officer, has stepped down from his position effective October 20, 2023, to pursue his own project in Web3. Banxa would like to thank Mr. Cooney for his tenure and the strong partnership growth he achieved for the company at a crucial time in Banxa’s journey. Mr. Cooney remains a shareholder in Banxa.