TORONTO,
March 4, 2013 /CNW/ - Home Trust, a
wholly owned subsidiary of Home Capital Group Inc. (TSX: HCG),
today announced that it has teamed up with SelectCore Ltd.
("SelectCore" or the "Company") (TSX-V: SCG) a leader in prepaid
payment solutions, to offer corporate and public sector prepaid
card and payment solutions through Visa Canada (NYSE: V) and
MasterCard Canada (NYSE: MA).
The Canadian payments market is anticipating
explosive growth as Canada shifts
into the digital age and moves away from paper cheques and cash
forms of payment. This new venture will enable SelectCore and
Home Trust to harness this growth and capture marketshare.
Prepaid Visa and MasterCard cards will be a key
driver in the evolution of cheque replacement - driving significant
cost savings for government agencies, corporations and consumers
alike. The Canadian Task Force for the Payments System Review
has set forth recommendations to reduce the use of cheques by 80
percent. SelectCore and Home Trust are well positioned to
address this market demand by leveraging our combined synergies of
technology, infrastructure, capabilities and expertise.
The Canadian prepaid market is expected to grow
to an estimated $19.2B in the next
five years alone, with an addressable market surpassing
$125B. Our focus will be on
targeting emerging segments of the market that are expected to
drive the majority of this anticipated growth, including government
benefits, healthcare, payroll, travel and incentives.
"We are excited by the opportunity to enter this
rapidly growing payments space," said Gerald M. Soloway, Chief Executive Officer, Home
Trust. "By expanding our portfolio to include prepaid card
solutions, we are further diversifying our business. We
look forward to building and developing our relationship with
SelectCore."
"As the incumbent provider of government
disbursement solutions and a pioneer in the prepaid industry, our
agreement with Home Trust reconfirms our leadership position in the
Canadian marketplace," commented Keith
McKenzie, President of SelectCore. "We are delighted to be
working with one of Canada's
leading alternative financial services companies."
About Home Capital and Home Trust
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 deposits, residential and non-residential mortgage
lending, securitization of insured residential first mortgage
products, consumer lending and credit card services. Licensed to
conduct business across Canada,
Home Trust has offices in Ontario,
Alberta, British Columbia, Nova Scotia, Quebec and Manitoba.
About SelectCore
SelectCore Ltd. (TSX-V: SCG) is a pioneer and leader in prepaid
payment solutions for underserved markets. Founded in 1999, the
Company offers a range of prepaid products and services from
stored-value cards to mobile top-up that provide financial
empowerment to a market of millions of under-banked consumers.
SelectCore has been ranked among Canada's fastest growing companies by Profit
Magazine four times in the past six years and was included in the
2011 Deloitte Technology Fast 500 list of North America's fastest-growing technology
companies.
Neither TSX Venture Exchange nor its
Regulation Services Provider (as that term is defined in policies
of the TSX Venture Exchange) accepts responsibility for the
adequacy or accuracy of this release.
This news release contains "forward-looking
information" within the meaning of applicable Canadian securities
legislation. Generally, forward-looking information can be
identified by the use of forward-looking terminology such as
"plans", "expects", or "does not expect", "is expected", "budget",
"scheduled", "estimates", "forecasts", "intends", "anticipates", or
"does not anticipate", or "believes" or variations of such words
and phrases or state that certain actions, events or results "may",
"could", "would", "might", or "will be taken", "occur", or "be
achieved". Forward-looking information is based on the opinions and
estimates of management at the date the information is made, and is
based on a number of assumptions and is subject to known and
unknown risks, uncertainties and other factors that may cause the
actual results, level of activity, performance or achievements of
the Company to be materially different from those expressed or
implied by such forward-looking information, including risks
related to the regulatory approval process, market and financing
conditions as well as risks associated with the prepaid telecom and
prepaid financial industries, changes in project parameters as
plans continue to be refined as well as those risk factors
discussed in the Company's management's discussion and analysis for
most recent financial reporting period, available on www.sedar.com.
Although the Company has attempted to identify important factors
that could cause actual results to differ materially from those
contained in forward-looking information, there may be other
factors that cause results not to be as anticipated, estimated or
intended. There can be no assurance that such information will
prove to be accurate, as actual results and future events could
differ materially from those anticipated in such information.
Accordingly, readers should not place undue reliance on
forward-looking information. The Company does not undertake to
update any forward-looking information contained herein, except in
accordance with applicable securities laws.
SOURCE Home Capital Group Inc.