It has been said that General Electric Co. (GE) has agreed to sell its US, Mexico, Australia and New Zealand fleet businesses for $6.9 billion to Canada’s Element Financial Corp.

As per the deal, GE will sell its fleet businesses held by financial unit GE Capital to Canada’s Element Financial Corp.

The part of the deal for the US and Mexico is expected to close in the third quarter this year. For Australia and New Zealand, on the other hand, it is expected to close in the fourth quarter.

It has been said that GE has also signed a memorandum of understanding for the potential sale of its European fleet businesses to Arval, a fully owned unit of France’s BNP Paribas SA, before the end of this year.

This disposal includes a fleet of 160,000 vehicles in 12 countries, valued at €2.4 billion as of March 31. Arval and Element work as partners in North America.

Keith Sherin, GE Capital Chairman and Chief Executive, said, “We are on track to execute sales of $100 billion by the end of 2015 and expect to be substantially done by the end of 2016”.

GE has set a strategy to sell most of GE Capital’s $500 billion in assets, with the private-equity-lending unit sold to Canada’s largest pension in a deal valued at $12 billion earlier this month.

GE is exiting from the banking business after its investors urged the company to get back to its industrial roots as market conditions and federal regulations weighed on the finance unit’s returns.

GE Capital Fleet Services provides commercial car and truck financing and fleet-management services.

For Element, this deal with GE is marked as the second after it purchased GE Capital’s Canadian fleet-management business in 2013, and will boost its assets to more than 21 billion Canadian dollars.