I’m confused. Why did GM Financial announce that it would buy FinanciaLinx Corp., an independent lessor based in Toronto?
General Motors bought AmeriCredit last year to serve as the backbone of its captive financing arm. In recent months, the captive ― now known as GM Financial ― has been revving up its leasing program in the U.S. GM dealers in 15 states can access the prime offering, and the program is slated to be available nationally by summer. Even near-prime and subprime customers should be able to get in on the leasing action by yearend.
Meanwhile, GM Financial has been gearing up to enter the Canadian lease market this year, too. The company rehired Howard Cobham, who served as AmeriCredit’s senior vice president of dealer services in Canada from 2005 to 2008.
So, again, why did GM Financial last week agree to buy FinanciaLinx? The acquisition is meant to provide “a platform to expand its product offerings into Canada,” according to the press release.
Isn’t that what AmeriCredit was supposed to provide?
