General Electric Capital Corp., a financial services company, has entered into a definitive merger agreement to acquire Heller Financial Inc. for $5.3 billion in cash, or $53.75 per share. The merger agreement provides for a cash tender offer by GE Capital, a subsidiary of the General Electric Co., for all of Heller’s outstanding common stock, which will commence within the next five business days.

GE Capital has also entered into an agreement with The Fuji Bank, Limited, which owns 100% of the Class B common shares of Heller. Fuji Bank has agreed to tender all of its shares to GE capital. Consummation of the cash offer and the merger is subject to customary conditions, including regulatory approvals.

Denis J. Nayden, Chairman and CEO of GE Capital and Richard Almeida, Chairman and CEO of Heller Financial made the announcement today. The Board of Directors of both companies have approved the agreement.

For more details about this merger, refer to Late Edition in NREI’s August 2001 issue.