GM Bids for Ally’s International Operations

General Motors Co.'s finance arm says it submitted an unspecified first-round bid in July for the international business of Ally Financial Inc., the former General Motors Acceptance Corp.

General Motors Financial Co., previously known as AmeriCredit Inc., tells the U.S. Securities and Exchange Commission that it is one of a number of parties now in preliminary negotiations to buy the unit. Ally put the overseas unit's $30 billion in assets up for sale in May. It says about 30 parties have expressed interest.

The deal includes auto lending, insurance and banking operations in Canada, Europe, Latin America and Mexico. Ally plans to use the proceeds to help repay its debt to the U.S. Dept. of the Treasury, which owns 74% of the finance company after a 2009 bailout.

GM CEO Dan Akerson indicated to Bloomberg News in May that he was interested in the Ally's overseas unit. He declared GM is the "natural buyer" for the assets it previously owned for 87 years, assuming the price is right. Analysts estimate the sale could garner $2 billion-$4 billion.

In the SEC filing, GM's finance arm says acquiring Ally's overseas unit would ease its entry to international markets and could as much as double its consolidated assets and debt.

Separately, GM Financial unveiled plans to issue $1 billion in five-year notes in an imminent sale to raise money for general corporate purposes. Analysts say the money could fund an Ally deal.