GE Capital's restaurant financing assets sold

NORWALK , Conn., June 28 (UPI) -- General Electric Co. sold of most of GE Capital's restaurant franchising financing assets, further reducing the company's presence in finance.

It announced three separate agreements Monday, with First Horizon National Corp., Wintrust Financial Corp. and Sterling National Bank, which will transfer the bulk of GE's restaurant loan portfolio. The combined transactions have a net investment value of $1.4 billion, and should free up $200 million in GE capital.

General Electric has stated it seeks to leave the financing sector of the economy in order to concentrate on high-tech manufacturing, such as production of power turbines and jet engines. GE Capital, the financing arm, was formerly a $500 billion lending business; with plans to sell off about $200 billion in assets, it has completed deals worth about $156 billion.

The latest transactions are expected to be completed by the end of September; First Horizon will acquire assets in the Southwest and Southeast United States, Wintrust's will largely be in the Midwest and Sterling will acquire Eastern assets. GE Capital's Western asserts will be sold separately.