At least two Canadian banks are said to be vying for the international operations of General Motors' former lending unit.
Both TD Bank (TD) and Scotiabank (BNS) may be among more than 15 bidders for the non-U.S. operations of Ally Financial, Reuters reported late Tuesday.
TD Bank, which bought Chrysler Financial for $6.3 billion in 2011, is a significant U.S. auto lender already.
Though neither TD Bank nor Scotiabank commented on the report, a spokeswoman for Ally told American Banker the company is "encouraged by the depth and breadth of interest in the international businesses."
Ally, which is 74% owned by the Treasury Department, is selling its operations in Canada, Europe, Latin American and Mexico as part of a plan to strengthen its capital position, hone its business and speed repayment of the government's investment in the company.
Last week, advisers representing Ally's Residential Capital Corp. unit told National Mortgage News that four bidders are vying for the bankrupt firm's $365 billion residential servicing portfolio and what's left of its mortgage origination arm.
Nationstar Mortgage Holdings (NSM), Ocwen Financial (OCN), Berkshire Hathaway (BRK), and a fourth bidder, believed to be large hedge fund, are reportedly in the running for the assets, which are slated to be auctioned on Oct. 23.
Ally has repaid roughly $5.7 billion to the Treasury, about one-third of the government's investment, the company said in August.