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Wells Fargo to Acquire GE Capital’s Commercial Distribution Finance and Vendor Finance Businesses

SAN FRANCISCO--(BUSINESS WIRE)--Wells Fargo & Company (NYSE: WFC) announced today that it has signed an agreement to purchase GE Capital’s Commercial Distribution Finance and Vendor Finance platforms as well as a portion of its Corporate Finance business. The acquisition includes total assets of approximately $32 billion as well as businesses employing approximately 3,000 team members. The loan and lease portfolios are roughly 90 percent U.S.- and Canada-based. The transaction is expected to close in the first quarter of 2016. Other terms of the transaction were not disclosed.

“This acquisition is an outstanding opportunity for Wells Fargo to deepen relationships and strengthen our presence in key commercial lending markets”

“This acquisition is an outstanding opportunity for Wells Fargo to deepen relationships and strengthen our presence in key commercial lending markets,” said Tim Sloan, head of Wells Fargo Wholesale Banking. “GE Capital’s businesses are industry leaders with proven business models and capabilities backed by exceptionally talented and experienced teams. These advantages, in addition to portfolios that are diversified geographically and by industry, will allow Wells Fargo to continue to grow our business in order to better serve the needs of new and existing Wholesale Banking customers.”

Commercial Distribution Finance

GE Capital’s Commercial Distribution Finance (CDF) business is a market leader in providing customized inventory financing to fund the flow of finished durable goods from manufacturers to dealers. Through industry expertise and integrated technologies, CDF helps manufacturers and dealers improve cash flow, reduce risk and grow sales. CDF’s inventory finance products and deep customer relationships will greatly complement and expand existing asset-based lending product offerings in Wells Fargo’s Capital Finance division.

  • Total assets of approximately $13 billion(1)
  • Approximately 2,000 Original Equipment Manufacturers (OEM)s and 40,000 dealers
  • 80% of customers in the U.S. and Canada
  • Key industry sectors: motorsports, marine, recreational vehicle, outdoor products, electronics & appliances, and technology
  • $49.9 billion in volume in 2014

Vendor Finance

GE Capital’s Vendor Finance business provides vendor and dealer financing programs for manufacturers...


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