VersaBank Celebrates ECN Capital's Successful Privatization Deal

VersaBank Honors ECN Capital for Privatization Success

In a significant development within the financial services sector, VersaBank (TSX: VBNK, NASDAQ: VBNK) has expressed its heartfelt congratulations to ECN Capital Corp. on its recent privatization transaction. This announcement underscored the fruitful collaboration between VersaBank and ECN Capital, emphasizing the pivotal role they both play in the business-to-business digital banking landscape.

On December 8, 2025, VersaBank announced that it had completed additional funding with ECN’s subsidiary, Source One Financial Services, raising the total funding amount to an impressive US $90 million. This funding underscores the robust financing capabilities that VersaBank offers through its Receivable Purchase Program (RPP).

David Taylor, Founder and President of VersaBank, highlighted the long-standing partnership with ECN Capital's founder, Steve Hudson, noting their collaborative journey in point-of-sale financing. Taylor expressed enthusiasm for continuing and deepening this partnership as ECN transitions into a private company. He remarked, "Our partnership with Source One is further evidence of the attractiveness of VersaBank's Core RPP financing solution in the United States."

Steve Hudson, who serves as the CEO of ECN Capital, echoed Taylor's sentiments, stating, "I am excited to once again partner with VersaBank. This reflects our continued efforts throughout ECN to enhance operational efficiency and generate additional revenue." This mutual appreciation highlights the trust and competence built over years of collaboration.

About ECN Capital and Source One Financial Services

Source One, a wholly owned subsidiary of ECN Capital, has established itself as a major player in the specialty lending landscape, with over 3,500 dealerships across 47 states. The company prides itself on providing flexible financing solutions that improve customer experiences in outdoor buying. Having cultivated strong relationships and a turn-key loan platform for over 25 years, Source One is well-positioned to drive sales through innovative financing options.

ECN Capital, which manages assets worth US $8.2 billion, provides essential business services to a variety of partners, including banks and institutional investors. The company specializes in the origination and management of credit assets, particularly within consumer loans (pertaining to manufactured housing, recreational vehicles, and marine financing) and commercial loans.

VersaBank: A Unique Digital Banking Solution

VersaBank operates under a distinct model, being federally chartered in both Canada and the United States with a digital-only approach. This enables the bank to address underserved segments in the banking industry effectively while minimizing risks. Through its innovative technologies, VersaBank has positioned itself uniquely within the industry, making it a vital partner for firms looking for comprehensive financial solutions, especially in the U.S. market, which is known for its challenges and opportunities in digital transformations.

With the successful rollout of the Receivable Purchase Program in the U.S., VersaBank is aiming for significant growth in its RPP assets. The momentum is evident, and as fiscal 2026 approaches, expectations for operations to expand several folds are optimistic.

As globalization continues to shape the banking landscape, partnerships such as with ECN Capital epitomize how financial institutions can innovate and adapt to meet evolving market needs. The successful collaboration between VersaBank, ECN Capital, and Source One promises to harness the best practices in digital banking and financing, paving the way for future growth and sustainability.

In conclusion, as VersaBank celebrates this pivotal moment in its partnership with ECN Capital, the alliance signifies not just a successful transaction but a shared future of innovation in the financial services sector, with customer-centric solutions at the forefront of their business strategies. The future appears bright as these two entities strive towards achieving common goals in the evolving landscape of digital banking and financing.