Consumer services giant Cendant ( CD) raised its quarterly dividend to 9 cents from 7 cents, possibly prefacing the successful divestiture of the company's mortgage-banking business.

The New York company will now send about $367 million out the door annually via dividends, about 23% of its net income in its most recent 12 months. The dividend yield on Cendant's stock moves to about 1.5% based on Tuesday's close of $24.18.

The stock was down a penny in after-hours trading.

Various media outlets reported Tuesday that Cendant was near a deal to sell its mortgage operations to Countrywide Financial ( CFC) in a transaction that would net about $1 billion after debt repayment.

Cendant's next dividend is payable Sept. 14 to stock of record Aug. 16.