PRZOOM - /newswire/ -
Mainz, Germany, 2010/03/29 - GE Capital today signed an agreement with the Royal Bank of Scotland Plc (RBS) to acquire 100% of RBS Factoring GmbH, RBS’s factoring and invoice financing business in Germany, for an undisclosed amount. NYSE: GE
The transaction is subject to a number of conditions, including regulatory approval.
RBS’s factoring and invoice financing business is a top 10 provider of accounts receivable (AR) finance in Germany by financing volume. The business processes more than one million invoices a year and will add over €2bn of volume to GE Capital’s German factoring platform. The business had assets of €169mm as of December 2009.
GE Capital is one of the leading providers of AR finance in Europe, lending more than €250 million to small and medium sized European businesses every day and financing more than 350,000 companies every year in Europe alone. Since 2004, GE Capital has provided more than €350 billion of working capital to small and medium sized businesses across Europe.
"The acquisition of RBS’s German factoring business perfectly fits our strategic focus on SMEs,” said Rich Laxer, President and CEO of GE Capital EMEA. “Building on the near record volumes we financed in 2009, this acquisition will reinforce our position as a leading provider of accounts receivable financing in Germany,”
“We provided more than €20bn of working capital to German Mittselstand businesses in 2009 through our factoring platform and are committed to increasing our financial support of mid market businesses in these difficult economic times,” said Joachim Secker, CEO of GE Capital in Germany. “We are very pleased to be able to extend our unparalleled service to the existing customers of RBS Factoring in the future.”
GE Capital is one of the Europe’s leading financial institutions - providing secured finance facilities to support small and mid-market customers throughout the EMEA region. GE Capital provides customers with a range of services, including asset-based lending, inventory finance, leasing, fleet services and corporate lending.
About GE Capital
GE Capital is a leading provider of specialist finance throughout the EMEA region, providing a wide range of solutions including: accounts receivable management, inventory finance, ABL, cross-border financing, leveraged finance, European leasing/vendor finance and fleet management. GE Capital focuses on sectors where it can share GE's 130+ year heritage with customers - energy, healthcare, media, transportation and industrial - and has a major footprint in EMEA, including an exciting $8 billion commercial finance joint venture with Mubadala in Abu Dhabi.