GE Signs Deal To Sell Lending Businesses To Spanish Bank

General Electric Co. on Monday signed a deal announced in March to sell its credit card and automotive-lending businesses in the United Kingdom and its GE Money units in Germany, Finland, Australia and Ireland to Spain-based Banco Santander. The parties valued the deal at US$1.5 billion (1 billion euros). The Irish unit was not part of the deal when it was announced earlier this year. In return, GE Consumer Finance acquires Interbanca, an Italian commercial bank assigned to Banco Santander in 2007 as part of its purchase of holdings from Dutch bank ABN Amro (CardLine Global, 28 March). GE did not respond to requests for comment from CardLine Global. The deal remains subject to regulatory approvals, but the companies expect to close the deal early in the fourth quarter, according to published reports.