General Electric Capital has bought Franchise Finance Corporation of America for $2.1bn.
The operation seems to indicate that the solution to the franchising market slowdown will be solved with the consolidation of companies operating in the loans segment.
Franchise Finance itself stated a little over a week ago that the growth in the restaurant franchising division (the most important for the sector) would be “mediocre” in 2001 following the disappointing 2% increase in 2000.
Il Sole 24 Ore, 31 March 2001 p22
