Home Capital Group Inc. has filed a preliminary short form prospectus with the securities commissions in each Canadian province, except Quebec, for an offering of 1.1 million Class B subordinate voting shares at $9.60 per share, for a gross proceeds of $10,560,000.

Sprott Securities Inc. is the sole agent for the offering, and will underwrite the offering on a best efforts basis. Home Capital has granted an over-allotment option entitling Sprott to purchase up to an additional 110,000 Class B subordinate voting shares at $9.60 per share at any time up until the closing of the offering.

Closing is expected to be on or about September 13, 2001. As consideration for acting as agent, Home Capital has agreed to pay Sprott a commission of 5% of the gross proceeds raised.

The net proceeds of the offering will be used to expand the capital base of Home Capital’s wholly-owned subsidiary, Home Trust Company, in order to facilitate future mortgage lending, and also for working capital and other general corporate purposes.