GE Capital Transportation Finance Business Sold to BMO Financial Group
GE Capital Corp. has agreed to sell its transportation finance business in the United States and Canada valued at $8.7 billion to BMO Financial Group and its Chicago-based subsidiary BMO Harris Bank. The price was not disclosed.
GE’s transportation finance business, based in Irving, Texas, is the largest lender to the commercial truck and trailer market in North America. The sale is the latest in a series of moves by GE to divest all of its financial assets by the end of 2016.
In July, GE Capital agreed to sell its fleet management business in the United States, Mexico, Australia and New Zealand to Element Financial Corp. for $6.7 billion. That deal is expected to close later this month.
“With the sale of our Transportation Finance business to BMO, we have again found a buyer with a customer-centric culture who is committed to the industry and growing this business with the help of our tenured and experienced team,” GE Capital Chairman and CEO Keith Sherin said.
Dan Clark, president and general manager of GE Capital Transportation Finance, said, “My team and I are excited to be joining BMO, a company which shares our passion for providing a great customer experience.”
BMO Harris Bank President David Casper said the purchase bolsters the bank’s commercial lending business, and he looks forward to working with the organization “to grow the business.”
GE Capital Transportation Finance operates from 11 offices with about 600 employees.
