Group 1 - Bank of Montreal (BMO) is exploring the sale of its transportation finance business, which has approximately $11 billion in assets and an estimated valuation of $1 billion [1][7] - The potential buyers for the transportation finance unit include private equity firms and private credit players, although no final decision has been made yet [1][2] - The transportation finance unit was acquired from General Electric Capital Corporation in 2015, significantly expanding BMO's commercial vehicle lending operations in the U.S. and Canada [2][7] Group 2 - The predictable cash flows and extensive presence in truck and trailer financing make the transportation finance unit an attractive target, especially as traditional banks offload asset-heavy divisions [2][7] - A potential sale could free up capital for BMO amid macroeconomic pressures such as rising interest rates, trade uncertainties, and increasing credit risk in the transportation sector [3]

Bank of Montreal is exploring a sale of its transportation finance business, which could fetch about $1 billion, sources say https://t.co/EDxzfFNxB0 ...