Reklaim Eliminates Outstanding Debenture, Signalling Strong Momentum and Capital Discipline

Rhea-AI Summary

Reklaim (OTCQB: MYIDF), a data-powered platform for consumer data protection and monetization, has successfully eliminated its outstanding debenture, marking a significant financial milestone. The company retired the debenture using proceeds from 8.4 million warrant exercises at $0.10, while an additional 10.9 million warrants expired unexercised.

The company's improved capital structure shows 126.4M shares outstanding, reduced warrants from 26.1M to 3.04M, and increased cash position from $350K to $427K. Reklaim's strong financial performance includes 24% YoY revenue growth in 2024, 82% gross margins, and a 282% increase in operating cash flow. Q1 2025 showed continued momentum with a 73% revenue increase and positive EBITDA.

Positive

• Elimination of $670K secured debenture, improving financial flexibility
• Strong Q1 2025 performance with 73% revenue growth and positive EBITDA
• Impressive 82% gross margins and 282% increase in operating cash flow
• Simplified capital structure with significant reduction in outstanding warrants
• Maintained 35% insider ownership, showing management alignment with shareholders

Negative

• Moderate share dilution with outstanding shares increasing from 118.0M to 126.4M
• Relatively low cash position of $427K despite recent improvements

The elimination of the debenture reflects improved financial discipline and a long-term strategic focus.

NEW YORK, June 25, 2025 /PRNewswire/ - Reklaim Ltd. (TSXV: MYID) (OTCQB: MYIDF) ("Reklaim" or the "Company"), a data-powered platform that empowers consumers to access, protect, and monetize their data, today announced that it has officially eliminated its outstanding debenture.

This milestone marks a significant turning point in Reklaim's financial evolution, with a streamlined capital structure that reflects growing profitability, operational discipline, and long-term alignment with shareholders.

"Removing the debenture was always the goal for 2025. We're glad to have it behind us so we can focus on the growth of the business," said Neil Sweeney, CEO of Reklaim.

The debenture was fully retired using proceeds from the exercise of 8.4 million warrants at $0.10. An additional 10.9 million warrants expired unexercised during the same period, further simplifying the Company's capital structure.

Capital Structure Improvements

The elimination of the debenture, combined with the expiry of outstanding warrants, has materially strengthened Reklaim's capital structure, further aligning the Company with long-term investors. The table below illustrates these changes as of June 24, 2025:

Before (March 31, 2025) vs. After (June 24, 2025):

• Shares Outstanding: 118.0M → 126.4M
• Warrants: 26.1M → 3.04M
• Options/RSUs: 10.9M → 10.9M
• Insiders: 35% → 35%
• Cash: $350K → $427K
• Secured Debenture: $670K → $0K

With fewer warrants, no secured debenture, and improved cash on hand, Reklaim enters the second half of 2025 with greater financial flexibility and reduced dilution overhang.

Financial Performance Overview

The elimination of Reklaim's debenture follows a year of record financial performance in 2024, including 24% year-over-year revenue growth, 82% gross margins, and a 282% increase in operating cash flow. That momentum carried into Q1 2025, where the Company reported a 73% increase in revenue compared to Q1 2024, positive EBITDA, and continued gross margins above 80%.

About Reklaim Ltd.

Reklaim (TSXV: MYID) (OTCQB: MYIDF) enables consumers to take control of their data. Through its mobile app, users can access, protect, or monetize their data with complete transparency. Reklaim partners with global brands to power data use that is both privacy-compliant and consumer-approved. The Company also offers Reklaim Protect, a subscription-based service that removes personal data from data brokers, monitors the dark web for breaches, and helps reduce a user's digital footprint.

Reklaim continues to focus on disciplined growth, operational leverage, and long-term value creation. Investors can follow updates at investors.reklaimyours.com.

Related News and Releases:

• Reklaim Launches Reklaim Protect — Subscription-Based Privacy for Consumers (May 2024)
• Reklaim Expands Protect To Include California Opt-Outs (June 2025)
• Reklaim Introduces Consumer Ownership Program (June 2025)
• Q1 2025 Financial Results — 73% YoY Revenue Growth and Positive Operating Cash Flow
• Chapter 6 CEO Letter – Q1 2025: Building Without the Noise
• Chapter 5 CEO Letter – Q4 2024: Discipline Over Distraction
• Reklaim Achieves Record Revenue and Positive Cash Flow in FY 2024

Forward-Looking Statements

This press release contains forward-looking statements. Please refer to our filings and disclosures for additional risk factors.

 

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SOURCE Reklaim Ltd.

FAQ

What changes did Reklaim (MYIDF) make to its capital structure in June 2025?

Reklaim eliminated its $670K secured debenture through the exercise of 8.4M warrants at $0.10, while 10.9M warrants expired unexercised. The company's shares outstanding increased to 126.4M, with warrants reduced to 3.04M.

How did Reklaim (MYIDF) perform financially in Q1 2025?

Reklaim achieved 73% revenue growth compared to Q1 2024, maintained gross margins above 80%, and reached positive EBITDA.

What was Reklaim's (MYIDF) financial performance in 2024?

Reklaim reported 24% year-over-year revenue growth, 82% gross margins, and a 282% increase in operating cash flow in 2024.

What is the current insider ownership of Reklaim (MYIDF) stock?

Insider ownership remains stable at 35% of the company's shares, demonstrating management's alignment with shareholders.

How much cash does Reklaim (MYIDF) have after eliminating its debenture?

After eliminating the debenture, Reklaim's cash position increased to $427K from the previous $350K.