VersaBank Moves Forward with Reorganization Plan to Enhance Corporate Structure and Empower Shareholders

VersaBank's Strategic Reorganization Plan

August 25, 2026 - London, Ontario

VersaBank, a prominent player in the North American digital banking sector, officially announced today the signing of a pivotal reorganization agreement aimed at streamlining its corporate structure. This move, which positions the bank within a standard U.S. banking framework, is expected to significantly enhance operational efficiency and shareholder value.

The reorganization plan, which is of great importance to both existing and prospective shareholders, was discussed in detail through a management information circular (the "Circular") that has been publicly filed and is currently being mailed out to shareholders. This communication serves as an essential guide for shareholders on what to expect during the special meeting set for September 16, 2026.

Shareholder Engagement and Meeting Details

For shareholders who were on record as of August 10, 2026, the upcoming meeting presents an opportunity to make their voices heard. The meeting will convene in-person at 1979 Otter Place, London, Ontario at 10:30 a.m. ET. Given the critical nature of these changes, the Board of Directors has openly recommended that shareholders vote 'FOR' the proposed reorganization.

In a statement released by the company, the Board emphasized the importance of shareholder participation, urging those who cannot attend in person to ensure their votes are represented. They reinforced that every vote counts in shaping the future of VersaBank and optimizing its potential post-reorganization.

Understanding the Reorganization Proposal

The centerpiece of the proposed changes is the establishment of Versa Bancorp as the direct or indirect parent holding company of both VersaBank and VersaBank USA National Association. This transition is not just administrative; it aims to enhance the overall governance of the bank, aligning it more closely with typical U.S. banking operations.

Furthermore, the Reorganization Agreement includes critical operational guidelines intended to power the bank’s future endeavors. Notably, the current SEC registration statement, effective since August 4, 2026, contains pivotal information regarding the reorganization and must be reviewed carefully by all shareholders.

Importance of the Registration Statement

The Registration Statement, alongside the Circular and Prospectus, lays down the foundational elements of VersaBank’s transformation. Stakeholders are highly encouraged to comprehensively read these documents as they entail significant information that will assist in making informed voting decisions. Additional information regarding the reorganization has already been circulated to current shareholders, further debunking any uncertainties regarding the implications of this transition.

Looking Ahead: The Future of VersaBank

As the digital landscape evolves, so too does the need for innovative banking solutions. VersaBank is recognized not only for its cutting-edge approach to digital banking but also for its commitment to cybersecurity through its subsidiary, DRT Cyber Inc. This upcoming reorganization marks another step in an ambitious journey for the bank, enhancing its capabilities to serve diverse customer segments.

VersaBank’s focus on integrating technology into its operations is reflected in initiatives such as their Structured Receivable Program, which significantly broadens their reach into the U.S. market. The reorganization is intended to solidify VersaBank's position as a crucial player in the digital banking ecosystem.

A Call to Action for Shareholders

As the fall meeting approaches, shareholders are urged to actively participate in what promises to be a pivotal moment for VersaBank. The potential impacts of the reorganization extend beyond structural changes; they could very well redefine the bank's strategic direction and service offerings.

In conclusion, this reorganization effort not only demonstrates VersaBank's adaptability but also its commitment to empowering its stakeholders—ensuring that all voices are counted as the bank charts its future.

For more information on voting and additional resources, shareholders can refer to the materials shared through the official communication channels of VersaBank. As history unfolds, the evolution of VersaBank will undoubtedly continue to attract attention and set benchmarks in the digital banking industry.