PHH calls off €1.3bn GE/Blackstone deal

MORTGAGE and vehicle fleet company PHH said yesterday it terminated its near $2 billion (€1.36bn) sale to General Electric and Blackstone, after the private equity firm failed to obtain required financing for the deal.

GE and Blackstone had agreed in March to acquire PHH for $1.8bn (€1.2bn). Under the terms, GE would retain PHH’s vehicle fleet company PHH Arval and would have sold PHH Mortgage to Blackstone immediately after closing.

“The board will determine in due course whether to continue to explore the company’s strategic alternatives,” AB Krongard, non-executive chairman, said.