GE Capital divests consumer finance business in Northern Europe to Santander
GE Capital has agreed to divest GE Money Bank, its consumer finance business in Sweden, Denmark and Norway, to Banco Santander for approximately EUR 700 million after a pre-closing dividend removing excess capital and Santander further assuming GE Money Bank’s intragroup funding. The transaction is subject to relevant regulatory approvals and is expected to close in the second half of 2014.
GE Money Bank has a loan portfolio of EUR 2.35 billion in consumer finance business lines, such as direct loans and credit cards. Banco Santander Consumer Finance is a leader in the region in auto finance, with outstanding loans amounting to EUR 8.9 billion. Following the transaction, Santander Consumer Finance Nordic will have over 1.2 million customers in the region.
GE Capital offers consumers and businesses around the globe an array of financial products and services. The company has operations in over 50 countries and had assets of USD 514 billion in 2013.
GE Capital was represented by Mannheimer Swartling in the transaction. The firm’s team included, amongst others, Adam Green, Isabella Ramsay, Caroline Karlsson, Carl Björk, Mikaela Mars, Johan Sundqvist and Karin Eberstål (M&A); Thomas Pettersson and Romina Bolin (Banking & Regulatory); Johan Carle and Edward Chapman (Competition); Martin Nilsson and Henrik Johansson (Tax), Anders Nordström, Albert Roos, Daniel Stålberg (Employment); and Per Josefson, Erica Wiking Häger, Oscar Björkman Possne and Karin Bergelin (IP and Transition).