Canada's Home Capital secures US$2b credit line

Toronto

CANADIAN alternative lender Home Capital Group Inc said on Thursday the Healthcare of Ontario Pension Plan (Hoopp) agreed to provide a US$2 billion credit line to its unit Home Trust. Home Capital earlier said it had hired bankers to help it secure additional funding and assess its options as it reported a further sharp decline in its assets.

Its shares ended 33.9 per cent higher at C$8.02, offsetting some of Wednesday's 60 per cent plunge after the company first disclosed plummeting deposits and an agreement in principle for the credit line.