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    Oct 16, 2017

    Home Capital to sell payment processing, prepaid card business

    John Benny, Reuters

    A sign shows the logos of Home Capital Group's subsidiaries Home Trust and Oaken Financial.

    A sign shows the logos of Home Capital Group's subsidiaries Home Trust and Oaken Financial in front of their headquarters in an office tower in the financial district of Toronto, Ontario, Canada. , REUTERS/Chris Helgren

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    Mortgage lender Home Capital Group Inc (HCG.TO) said on Monday it would sell its payment processing and prepaid card business.

    The sale, which also includes Home Capital's payment services interactive gateway units, is expected to generate about $20 million in annual savings, the lender said.

    Home Capital said it expects a reduction in fee and other income of about $18 million due to the sale.

    The deal is expected to close in 2017, the company said, without identifying the buyer.