GE Capital, the finance arm of
General Electric Company
), has recently inked a definitive agreement with
Deutsche Bank AG
) subsidiary Deutsche Postbank to acquire a $2.3 million
commercial loan portfolio. The strategic move is in sync with GE
Capital's plans to expand its core commercial real estate lending
business across the globe.
The loans are collateralized by commercial properties such as
offices, shops and hotels; about 90% of which are located in
prime locations in the U.K. including central London. The
remainder of the secured properties is located in Germany and
The transaction is expected to close by the end of the current
year. The deal reveals GE Capital's ability to underwrite
property loans and strengthen its position in the market as a
leading worldwide provider of commercial financing.
Equipped with diverse type of products, ranging from consumer
lending to financial solutions, GE Capital meets the financial
needs of businesses of all sizes. The segment includes General
Electric's Commercial Lending and Leasing, Consumer, Real Estate,
Energy Financial Services and GE Capital Aviation Services
businesses and General Electric Capital Corporation Corporate.
Commercial Lending and Leasing provides customer specific
financing solutions to aid them in their operations, growth and
restructuring. This business division serves customers ranging
from small businesses to Fortune 100 companies. Real Estate
Financing provides real estate lending, equity capital, asset
management and investment management in 31 countries across North
America, Europe and Asia. Currently, GE Capital Real Estate
manages a portfolio of $40 billion worth of global assets.
General Electric, the parent company, is one of the largest and
the most diversified technology and financial services
corporations in the world. With products and services ranging
from aircraft engines, power generation, water processing, and
security technology to medical imaging, business and consumer
financing, media content, and industrial products, the company
serves over 100 million customers worldwide. Its segments include
Power & Water, Oil & Gas, Energy Management, Aviation,
Healthcare, Transportation, Home & Business Solutions, and GE
General Electric presently retains a Zacks Rank #3 (Hold). Other
companies in the industry worth mentioning include
), both carrying a Zacks Rank #2 (Buy).
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