Herbert Smith Freehills has advised Coles on its joint venture with GE Capital Australia to manufacture and sell credit cards and personal loans to customers of Coles’ food, fuel and liquor businesses.

The transaction will expand Coles’ interests in financial services from being a distributor of branded cards to owning 50% of a new manufacturing company. Both shareholders will provide services to the joint venture.

The Herbert Smith Freehills team was led by partner Brendan Earle, who was supported by head of banking regulatory Tony Coburn, partners Richard Giannone and Julian Lincoln, senior legal associate John O’Connell and senior associate Alex Bean.

“We were delighted to help Coles reach another important stage in growing its financial services business. This joint venture will draw on Coles’ significant existing customer base and will give the company the opportunity to offer customers a range of new service options” said Brendan Earle.

Ashurst advised GE Capital Australia.