GE announced that it has signed an agreement to sell a 23.3-percent stake of Hyundai Capital Services (HCS) to Hyundai Motor Company and Kia Motors as part of a broader deal to exit its entire 43.-percent ownership in HCS over the following months. Hyundai Capital is an 11-year-old joint venture between Hyundai Motor Company and GE Capital that provides consumer financial products, including auto financing, auto leasing services, personal loans and home mortgages. Hyundai Motor Company and Kia Motors are global leaders in the vehicle industry.

The transaction represents aggregate GE ending net investment (ENI) of approximately US$0.9billion.

“As we continue to sell most of the assets of GE Capital, we are working with our joint venture partners such as Hyundai to find the solutions that work best for all parties,” said Keith Sherin, GE Capital chairman and CEO. “We’re pleased that we were able to take this step toward a longer term strategy to fully exit our stakes in Hyundai Capital and Hyundai Card. Hyundai has been a great partner over the last 11 years providing value for customers,” he added.

As previously announced, GE is embarking on a strategy to focus on its high-value industrial businesses and is selling most of GE Capital’s assets. GE will retain the financing verticals that relate to GE’s industrial businesses.

When completed, the transaction will contribute approximately US$0.6 billion of capital to the overall target of approximately US$35 billion of dividends expected to be paid to GE under this plan (subject to regulatory approval). The broader transaction is subject to customary regulatory approval and is expected to close in April 2016. Goldman Sachs provided financial advice and Weil Gotshal and Shin & Kim provided legal advice to GE.