Canadian Halal Investor.

TSX Shariah screener · October 2026

Is TeraGo Inc. (TGO) Halal?

FAIL

TeraGo Inc. · TSX: TGO · Telecom

The short answer

TeraGo Inc. (TSX: TGO) is a FAIL. The business gate passes: it is a carrier-grade fixed wireless network operator selling managed network and security services to Canadian businesses — Canada’s biggest holder of mmWave spectrum (exclusive 24 GHz and 38 GHz licenses) serving over 1,800 businesses — with no prohibited segments. The income gate passes: separately disclosed finance income of C$72k is about 1.2% of Q1 2026 revenue of C$6,172k, well under the ~5% ceiling. The debt gate fails decisively: long-term debt of C$29.5M (March 31, 2026) is about 47% of the ~C$62.4M market cap (39.0M shares × C$1.60, September 30, 2026), far above the ~33% ceiling — and even at the 52-week high of C$1.50 it is about 50%, still a fail. Cash of C$9.8M is about 15.6% of market cap. No Zoya, Musaffa, or ShariaPortfolio coverage was found. This is a rules-based screen, not a religious ruling.

Gate 1 — Business activity: PASS

TeraGo owns and operates a carrier-grade, fixed wireless, IP communications network and provides managed network and security services to businesses across Canada — secure, dedicated, SLA-guaranteed enterprise connectivity, wireless networking and private 5G. It holds exclusive spectrum licenses in the 24 GHz and 38 GHz bands (about 6,420 MHz, claimed as the largest mmWave holding in Canada) and serves over 1,800 Canadian and global businesses. The legacy data-center business was sold to Hut 8 (closed January 2022); current revenue is connectivity contracts. There are no alcohol, gambling, weapons, tobacco, cannabis, conventional-lending/insurance, or pork segments. The business gate passes.

Gate 2 — Debt and cash: FAIL

At March 31, 2026 (Q1 2026 interim financial statements, filed May 12, 2026), long-term debt was C$29,481k (note 6; CAD-denominated, fixed rates; no current portion outstanding). Against a market cap of ~C$62.4M (39.0M shares × C$1.60, September 30, 2026 close, TSX), that is about 47% — far above the ~33% ceiling. The fail is not price-sensitive: at the 52-week high of C$1.50 (August 2026) the ratio is about 50%, and at the ATB Cormark target of C$1.25 it is about 60%, still far above the ceiling. The debt comes from the October 2025 recapitalization (~C$46M: equity financings plus a new 36-month senior secured term loan from Cymbria Corporation, with warrants issued to the lenders; proceeds repaid the prior facility in full). Lease liabilities of ~C$20.3M are excluded from the interest-bearing debt definition used here. Cash and cash equivalents of C$9.8M are about 15.6% of market cap, within the cash guideline. The debt gate fails decisively.

Gate 3 — Non-compliant income: PASS

The Q1 2026 interim statements separately disclose finance income of C$72k (shown as its own line, offsetting finance costs of C$2,052k). Against Q1 2026 revenue from operations of C$6,172k, that is about 1.2% — well under the ~5% ceiling (Q2 2026: revenue C$6.21M, finance income of a similar magnitude). The income gate passes.

Key figures used

Frequently asked questions

Is TeraGo (TGO) halal?

Our October 2026 screen gives TeraGo Inc. (TSX: TGO) a FAIL. The debt gate fails decisively: long-term debt of C$29.5M (March 31, 2026) is about 47% of the ~C$62.4M market cap — far above the ~33% ceiling (about 50% at the 52-week high of C$1.50, also a fail). The business gate passes (carrier-grade fixed wireless network and managed network/security services for Canadian businesses; Canada’s biggest holder of mmWave spectrum with exclusive 24 GHz and 38 GHz licenses; no prohibited segments) and the income gate passes (separately disclosed finance income of C$72k is about 1.2% of Q1 2026 revenue of C$6,172k, well under the ~5% ceiling). Cash of C$9.8M is about 15.6% of market cap. No Zoya, Musaffa, or ShariaPortfolio coverage was found. This is a rules-based screen, not a religious ruling.

What does TeraGo do?

TeraGo owns and operates a carrier-grade, fixed wireless, IP communications network and provides managed network and security services to businesses across Canada — secure, dedicated, SLA-guaranteed enterprise connectivity, wireless networking and private 5G. It holds exclusive spectrum licenses in the 24 GHz and 38 GHz bands (about 6,420 MHz, claimed as the largest mmWave holding in Canada) and serves over 1,800 Canadian and global businesses. The legacy data-center business was sold to Hut 8, closing January 2022; current revenue is connectivity contracts.

How much debt does TeraGo have?

At March 31, 2026 (Q1 2026 interim financial statements, filed May 12, 2026), long-term debt was C$29.5M — CAD-denominated at fixed rates, with no current portion outstanding. Against a market cap of ~C$62.4M (39.0M shares × C$1.60, September 30, 2026 close, TSX), that is about 47% — far above the ~33% ceiling. The debt comes from the October 2025 recapitalization (~C$46M: equity financings plus a new 36-month senior secured term loan from Cymbria Corporation, with warrants issued to the lenders; proceeds repaid the prior facility in full).

Is TeraGo’s income compliant?

Yes. The Q1 2026 interim statements separately disclose finance income of C$72k (its own line, offsetting finance costs of C$2,052k). Against Q1 2026 revenue from operations of C$6,172k, that is about 1.2% — well under the ~5% ceiling. The income gate passes.

What do third-party Shariah screeners say about TGO?

No Zoya, Musaffa, or ShariaPortfolio rating was found for TGO in public search — none of the three named providers surfaced coverage, so no rating is claimed here.

Sources

Screened 2026-10-01 from published company figures and market data. Figures change; this page is educational, not financial advice and not a religious ruling.