May 29 (Reuters) - Wells Fargo ( WFC ) said on Thursday

it has signed a deal to sell its rail equipment leasing business

to a newly formed joint venture between railcar lessor GATX

Corporation ( GATX ) and Brookfield Infrastructure.

The deal, which the U.S. banking giant said will not have a

material impact on its financial position or earnings, includes

the entire rail operating lease assets valued at around $4.4

billion, as well as the rail finance lease portfolio.

"This transaction is consistent with Wells Fargo's ( WFC ) ongoing

strategy of simplifying our businesses and focusing on products

and services that are core to our clients," said David Marks,

executive vice president, Wells Fargo Commercial Banking.

In a separate statement, GATX ( GATX ) and Brookfield Infrastructure

said the rail operating lease portfolio includes roughly 105,000

railcars.

Additionally, Brookfield Infrastructure has also agreed to

acquire Wells Fargo's ( WFC ) rail finance lease portfolio, composed of

roughly 23,000 railcars and around 440 locomotives.

GATX ( GATX ) will initially own 30% and Brookfield Infrastructure

70% of the joint venture, with the former having the option to

acquire full ownership over time.

GATX ( GATX ) will have commercial and operational control, and

manage all joint venture assets.

The companies said they expect the deal to close in the

first quarter of 2026 or sooner.