Home Capital Succeeds in Bid for Shares of Payment Services Interactive Gateway



    TORONTO, Oct. 17 /CNW/ - Home Capital Group Inc. ("Home Capital")
(TSX: HCG) and Payment Services Interactive Gateway Corp. ("PSiGate") (TSX-V:
PSG) jointly announce that Home Capital has been successful in its offer to
acquire all outstanding common shares of Payment Services Interactive Gateway
Corp. ("PSiGate"). 11,013,629 common shares have been tendered to Home
Capital's offer. Home Capital has instructed the Depositary for the offer,
Equity Transfer & Trust Company, to take up all of the common shares deposited
to the offer.
    Upon taking up and paying for the common shares, Home Capital will own
11,013,629 common shares, representing approximately 95.87% of the outstanding
common shares on a fully diluted basis. Home Capital has met the minimum
tender condition of its offer, which required more than 66 2/3% of the common
shares being validly deposited and not withdrawn at the expiry time. Payment
to the shareholders who deposited their common shares to the offer will be
made by the Depositary as soon as reasonably practicable.
    Home Capital intends to acquire all common shares not tendered to the
offer pursuant to a compulsory acquisition transaction under the Business
Corporations Act (Ontario). Upon completion of such compulsory acquisition,
Home Capital intends to de-list the common shares from the TSX Venture
Exchange.

    About Home Capital

    Home Capital Group Inc. is a holding company, publicly 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 credit card issuing services.
Licensed to conduct business across Canada, Home Trust has offices in Ontario,
Alberta, British Columbia, Nova Scotia and Quebec.

    About PSiGate

    PSiGate empowers businesses on the Internet by providing secure,
cost-effective and trusted commerce solutions. PSiGate provides an easy and
seamless interface to new or existing online storefronts, offering a reliable
means of both real-time and batch payment collection and financial transaction
processing. PSiGate provides Internet Merchant Accounts (Merchant IDs) for
North American based businesses. As at the date of this press release, PSiGate
has 11,488,469 common shares outstanding and no options to purchase common
shares.

    This document may contain forward-looking statements, relating to Home
Capital's or PSiGate's operations or to the environment in which it operates,
which are based on the respective company's operations, estimates, forecasts
and projections. These statements are not guarantees of future performance and
involve risks and uncertainties that are difficult to predict, and/or are
beyond such company's control. A number of important factors could cause
actual outcomes and results to differ materially from those expressed in these
forward-looking statements. These factors include those set forth in other
public filings. Consequently, readers should not place any undue reliance on
such forward-looking statements, whether as a result of new information,
future events or otherwise.

    The TSX Venture Exchange has not reviewed and does not accept
    responsibility for the adequacy or accuracy of this release.




For further information:

For further information: Gerald M. Soloway, President & CEO, or Nick
Kyprianou, Sr. Vice President & COO, Home Capital Group Inc., (416) 360-4663,
www.homecapital.com; Anthony Palumbo, President & CEO, Payment Services
Interactive Gateway Corp. (PSiGate), (905) 567-4000 ext. 241, www.psigate.com


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