Starwood To Buy Energy Project Finance Debt Business From GE Capital

(RTTNews) - Starwood Property Trust, Inc. (STWD) announced that the company has entered into a definitive agreement to acquire GE Capital's Energy Financial Services' Project Finance Debt Business and loan portfolio for $2.56 billion, including $400 million of unfunded loan commitments. The company anticipates the transaction will be accretive to core earnings. The deal is expected to close in the third quarter of 2018.

GE's Energy Project Finance Debt Business includes a vertically integrated platform with a seasoned leadership team and 21 full-time employees across loan origination, underwriting, capital markets and asset management. The Loan Portfolio consists of 51 senior loans secured by energy infrastructure real assets.

Starwood said the acquired business will leverage the extensive experience of the company's affiliate, Starwood Energy Group, which specializes in comparable energy infrastructure equity investments.