From the beginning of October, what is to become GM’s captive financial arm will be called General Motors Financial Company. The new unit is hoped to give GM customers access to more financing options, with the first one to be announced being a new regional lease program which will be launched in the first quarter of 2011.
“This acquisition allows GM to offer an enhanced range of solutions for our customers and dealers, and establishes an important strategic capability for GM,” said Chris Liddell, GM CFO.
“The speed by which this transaction occurred is evidence of how we are running GM today. We identified an opportunity and moved quickly to provide solutions for customers and dealers.”
The carmaker, yet to go public, says that the acquisition of AmeriCredit will not affect GM’s balance sheet nor does it change the objective of achieving strong investment grade status. The financial unit will also not interfere with the services offered by Ally Financial.
“While the name is changing, our commitment to our customers and dealers remains paramount,” said Dan Berce, GM Financial. “We are excited to become a member of the GM family and look forward to the new opportunities this provides us.”
The American manufacturer bought AmeriCredit for around $3.5 billion, with all the money to be paid in cash.
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