Target sells cards to TD Bank

The retailer agreed to sell its entire consumer credit card business to the Toronto-Dominion Bank Group (TD) after almost two years of shopping it around. Target (TGT) said the price will be equal to the gross value of the outstanding receivables at the time of closing, expected in the first half of '13. The portfolio currently has a gross value of about $5.9 bil. The deal boosts Toronto-based TD's presence in the U.S. card business. Target said it will use 90% of proceeds to pay down debt, and the rest to repurchase stock. Target shares rose 0.7% to 62.64.