Business Context and Reporting Period
This Form 8-K Current Report was filed by International Money Express, Inc. on December 10, 2018, covering events occurring on December 6 and December 7, 2018. The filing addresses a material amendment to the company's credit agreement and a change in its independent certifying accountant.
Key Financial Metrics
This filing does not contain financial performance data such as revenue, profit, cash flow, margins, or liquidity ratios. The document focuses on corporate governance and financing structure updates rather than operational results.
Material Changes
- Credit Agreement Amendment: On December 7, 2018, the Company entered into Amendment No. 1 to its Credit Agreement dated November 7, 2018. This amendment permits revolving credit loans to be based on the one-month LIBOR rate with one-day interest periods.
- Change in Auditor: On December 6, 2018, the Audit Committee dismissed WithumSmith+Brown, PC ("Withum") as the Company's independent registered public accounting firm.
Outlook, Risks, and Management Commentary
Auditor Dismissal Context: The filing notes that Withum's previous audit reports for FinTech Acquisition Corp. II (the predecessor entity) included an explanatory paragraph expressing substantial doubt about the entity's ability to continue as a going concern if a business combination was not completed by January 25, 2019. The Company confirmed there were no disagreements with Withum regarding accounting principles, practices, or auditing scope during the periods ended December 31, 2017 and 2016, or the interim period through December 6, 2018.
Unusual Items: The dismissal of the auditor is a significant corporate event, though the Company explicitly stated no "reportable events" under Regulation S-K Item 304(a)(1)(v) occurred.
Investor Verification Checklist
- Verify the specific terms of Amendment No. 1 to the Credit Agreement (Exhibit 10.1) to understand the impact of the one-month LIBOR rate and one-day interest periods on future interest expenses.
- Confirm the identity of the new independent registered public accounting firm appointed to replace WithumSmith+Brown, PC.
- Review the letter from WithumSmith+Brown, PC (Exhibit 16.1) to ensure there are no undisclosed disagreements or qualifications regarding the financial statements.
- Monitor the Company's progress toward completing a business combination, given the prior going concern warning issued by the former auditor.