agreed to sell the origination and servicing business of its RV and marine lending operation to
GE Consumer Finance
for $60 million in cash.
The New York-based broker said Tuesday that it expects to record a pretax gain of around $45 million after closing the deal with the
Under the terms of the sale, $3.3 billion in RV and marine assets will remain the property of E*Trade and will continue to be serviced by E*Trade Consumer Finance, under GE Consumer Finance's ownership. E*Trade will retain any assets originated through the closing of the transaction.
E*Trade recently set plans to acquire Harrisdirect and Kobren Insight Management, and said the sale of the consumer finance business "allows us to further streamline our business and allows us greater focus in generating the value that is inherent in our business model."