GE announced that it has reached separate agreements to sell its tank car fleet assets and railcar repair facilities to Marmon Holdings, Inc., and its remaining railcar leasing business, General Electric Railcar Services, to Wells Fargo & Co.
“We expect to be substantially done with our exit strategy by the end of 2016,” Keith Sherin, GE Capital chairman said.
Terms of the transactions are not being disclosed.
The sale of the tank car assets is effective immediately and closed on 30 September. The sale of the railcar repair facilities is expected to close in the fourth quarter of 2015. The sale of the remaining railcar leasing business is subject to customary regulatory and other approvals and is expected to close by the end of the first quarter of 2016.
When completed, the rail transactions represent about USD 4 billion of ending net investment.
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