Mr. Stephen Smith of Smith Financial reports

SMITH FINANCIAL CORPORATION ACQUIRES HOME CAPITAL GROUP INC.

Smith Financial Corp. has completed its plan of arrangement under the Business Corporations Act (Ontario) with Home Capital Group Inc. Pursuant to the terms of the arrangement, a wholly owned subsidiary of Smith Financial acquired all the issued and outstanding shares of Home Capital Group that Smith Financial did not already own for $44.28 in cash per share. Since the arrangement closed after May 20, 2023, the base consideration of $44 in cash per share was increased by 28 cents in cash per share, being an amount equal to 0.273973 cent per share in cash per day from and including May 20, 2023, up to and including Aug. 30, 2023.

A new and proven owner with deep affinity for customers, employees and partners

Now operating as a Smith Financial company, Home Capital will maintain its focus on delivering great service to customers and business partners, and leveraging its award-winning work culture.

"For many reasons, including the strength of Home's brand among mortgage brokers, deposit brokers and hundreds of thousands of customers across Canada, we are delighted to welcome this market-leading company and its hard-working team into the Smith Financial Corporation family," said Stephen Smith, founder and chief executive officer of Smith Financial. "Home Capital is a strategic holding for us, and we will give our support to preserve, protect and advance Home's place in the industry under its dedicated leadership. We look forward to collaborating with all Home stakeholders as a committed long-term owner."

With the arrangement now complete, Home Capital's common shares are expected to be delisted from the Toronto Stock Exchange shortly after the date hereof. Home Capital also will apply to cease to be a reporting issuer under applicable Canadian securities laws.

Action required by Home Capital shareholders

Registered shareholders of Home Capital are reminded to submit a duly completed letter of transmittal and, as applicable, the certificate(s) representing their common shares, as applicable, to Computershare Investor Services Inc. Registered shareholders who have questions or require assistance can contact Computershare toll-free at 1-800-564-6253 in North America, or at 1-514-982-7555 outside North America, or by e-mail at corporateactions@computershare.com

For additional details regarding the arrangement, see Home Capital's management information circular dated Jan. 6, 2023, a copy of which can be found under Home Capital's profile on SEDAR.

About Smith Financial Corp.

Smith Financial was founded by one of Canada's leading financial services entrepreneurs and his family. With a long-term philosophy shaped by Smith family values, its purpose is to partner with and nurture great companies. Today, Smith Financial has significant equity positions in Canada Guaranty Mortgage Insurance Company, Fairstone Bank of Canada, First National Financial Corp., Glass-Lewis & Co., Home Capital, Equitable Bank, and Peloton Capital Management and its private equity funds.

About Home Capital Group Inc.

Home Capital operates through its principal subsidiary, Home Trust Company. Home Trust is a federally regulated trust company offering residential and non-residential mortgage lending, securitization of residential mortgage products, consumer lending, and credit card services. In addition, Home Trust and its wholly owned subsidiary, Home Bank, offer deposits via brokers and financial planners, and through a direct-to-consumer brand, Oaken Financial. Licensed to conduct business across Canada, the company has offices in Ontario, Alberta, British Columbia, Nova Scotia and Quebec.

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