The GMAC factoring portfolio consists of approximately 150 small and midmarket retailing clients and represents about $4 billion a year in factored receivables, the bank said in a statement. The business, which had been run by GMAC’s commercial finance group, will become part of Wells Fargo Capital Finance’s trade capital division.
Stuart Brister, president of Wells Fargo’s trade capital division, told Bloomberg News that about 90 percent of the GMAC factoring business was in the United States, with the rest in Canada.
“This enhances our position in the marketplace,” Mr. Brister said. “We believe it to be accretive and that it adds substantial economies of scale.”