Wells Fargo in San Francisco has agreed to sell the assets of its rail equipment leasing business.
The $1.9 trillion-asset company said in a press release that it will sell the business to a newly formed joint venture between GATX Corp. and Brookfield Infrastructure for $4.4 billion. The transaction is expected to close by the first quarter.
“This transaction is consistent with Wells Fargo’s ongoing strategy of simplifying our businesses and focusing on products and services that are core to our clients,” David Marks, an executive vice president with Wells Fargo Commercial Banking, said in the release.
The sale is not expected to have a material impact on Wells Fargo’s financial position or earnings.
Wells Fargo Securities and Simpson Thacher & Bartlett advised Wells Fargo.