DOW JONES NEWSWIRES
General Motors Corp. (GM) said Thursday it would sell for $5.6 billion its Allison Transmission commercial and military business to Carlyle Group LP and Onex Corp. (OCX.T).
The sale agreement covers substantially all of Allison Transmission, including seven manufacturing facilities in Indianapolis and its worldwide distribution network and sales offices.
The company's production facility in Baltimore, Md., will remain with GM.
The transaction is expected to close as early as the third quarter of this year pending union and regulatory approval.
"This is another important step to strengthen our liquidity and provide resources to support our heavy investments in new products and technology," said Rick Wagoner, GM chairman and CEO.
-Steve Gelsi; 415-439-6400; AskNewswires@dowjones.com
Copyright (c) 2007 Dow Jones & Company, Inc.