The group has reached an agreement to sell its US, Mexico, Australia and New Zealand fleet businesses to Element Financial Corporation for $6.9bn. The move follows GE Capital’s sale of its Canadian fleet business to Element in 2013.

Separately, GE has signed a memorandum of understanding for the potential sale of its European fleet businesses to Arval for an undisclosed amount.

Excluded from the transactions is GE Capital’s fleet business in Japan.

The move follows GE’s announcement earlier this year that it was looking to divest itself of its fleet business in line with its strategy to create a simpler, more valuable industrial company.

Arval and GE will now consult with their respective works councils. The transactions’ completion will also be subject to customary regulatory and other local corporate or antitrust approvals.

“Both Element and Arval are invested in and committed to growth in the fleet industry and our customers will benefit from their strength and expertise,” said Keith Sherin, GE Capital chairman and CEO.

The US and Mexico transaction is expected to close in the third quarter of 2015, and the A&NZ transaction in the fourth quarter of 2015, subject to customary regulatory and other approvals. If approved, the Arval transaction is targeted to close in the fourth quarter of 2015.