General Motors Sells Finance Arm

05 April 2006

   DETROIT - The troubled automaking giant has agreed to sell a controlling stake in its GM Acceptance finance arm to a consortium led by Cerberus Capital for $7.4 billion (€6.07bn; £4.24bn), securing a cash inflow of $14bn over the next three years.
   The surrender of GMAC ends a fire-sale of General Motors' non-essential assets over the past year that includes most or all of its stakes in Fiat Auto, GMAC's commercial mortgage unit, and Japan's Fuji Heavy Industries and Suzuki. Talks are also under way about the sale of GM's 7.9% stake in Japanese truckmaker Isuzu.