TORONTO, March 11 /CNW/ - Home Capital Group Inc. (TSX: HCG) today announced the adoption by its Board of Directors of a Shareholder Rights Plan. The Rights Plan is effective immediately, and will be submitted for ratification by Home Capital's shareholders at the shareholders meeting to be held May 13, 2009. If the Shareholder Rights Plan is not ratified by Home Capital's shareholders, it and all of the Rights outstanding at the time will terminate.
The purpose of the Shareholder Rights Plan is to provide the Board of Directors of Home Capital with sufficient time to explore and develop alternatives for maximizing shareholder value if a take-over bid is made for the Company and to ensure that every shareholder has an equal opportunity to participate in such a bid. The Shareholder Rights Plan is not intended to deter take-over proposals.
Home Capital is not aware of any pending or threatened take-over bid for the Company.
The Toronto Stock Exchange has accepted Home Capital's notice of filing of the Shareholder Rights Plan. The Shareholder Rights Plan will be filed today and available for viewing through the Internet at the Canada System for Document Analysis and Retrieval (SEDAR) at www.sedar.com.
Home Capital Group Inc. is a public company, traded on the Toronto Stock Exchange (HCG), operating through its principal subsidiary, Home Trust Company. Home Trust is a federally regulated trust company offering deposit, mortgage lending, retail credit and payment card services. Licensed to conduct business across Canada, Home Trust has offices in Ontario, Alberta, British Columbia, Nova Scotia and Quebec.