Capital One to buy GE healthcare division for $9 billion
Capital One Financial Corporation has signed an agreement to acquire General Electric Capital, Healthcare Financial Services, for around $9 billion.
The deal is expected to be completed in the fourth quarter, and Capital One will get $8.5 billion worth of GE's healthcare loans. GE's Healthcare Financial Services President Darren Alcus will become the president of Capital One's healthcare finance business.
"This is a strategic investment in a specialty industry segment that we have been building out for the past several years. This addition will catapult us to a leading market position in providing financial services to the healthcare sector,” said Michael Slocum, President of Capital One's Commercial Bank.
Credit Suisse and Wells Fargo Securities were financial advisors to Capital One, and Wachtell, Lipton, Rosen & Katz acted as legal adviser to Capital One.