Pending regulatory approval, GE Capital is all set to acquire 100 percent of The Royal Bank of Scotland’s Factoring and invoice business in Germany, for an undisclosed amount.
The acquisition became effective when GE Capital signed an agreement with the Royal Bank Of Scotland’s factoring and invoice business.
The Royal Bank of Scotland’s factoring and invoice financing business is a top 10 provider of accounts receivable finance in Germany by financing volume. As of December, the business had assets worth approximately $228 million. It processes more than a million invoices in a year and will add over $2.69 billion to GE Capital’s German Factoring Platform.
GE Capital is one of the leading providers of AR finance in Europe, lending more than $337 million to small and medium sized European businesses every day and is financing more than 350,000 companies every year in Europe alone.
“The acquisition of The Royal Bank’s German factoring business perfectly fits our strategic focus on SMEs,” said Rich Laxer, president and CEO of GE Capital, EMEA, adding that the acquisition would reinforce GE’s position as a leading provider of accounts receivable financing in Germany.
Joachim Secker, CEO of GE Capital in Germany, said that the company was committed to increase financial support of mid market businesses in difficult economic times, and GE was very pleased to be able to extend unparalleled service to the existing customers of the Factoring business in the near 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.
As a provider of secured finance facilities, GE Capital, Healthcare Financial Services has provided $31.5 million as part of a $145 million senior secured credit facility for Harden Healthcare. LLC. Harden will use the proceeds of the financing to provide additional growth capital and to refinance its existing debt facilities.
Mini Swamy is a contributing editor for TMCnet. To read more of her articles, please visit her columnist page.
Edited by Marisa Torrieri