General Motors Acceptance Corp. signs a deal to create a 3-year, $10 billion funding facility with a subsidiary of Citigroup Inc., as it looks to separate itself from General Motors Corp.

The $10 billion funding facility is tied to Citigroup’s commitment in the sale of GM’s 51% controlling interest in GMAC to a consortium of financial managers, led by Cerberus Capital Management L.P.

The new funding source “provides additional operational flexibility,” and additional liquidity for GMAC, says GMAC Chief Financial Officer Sanjiv Khattri.

The facility involves U.S. auto finance assets originated and acquired by GMAC.

GMAC says the equity sale will support its ongoing business and has flexibility to adjust with its financial requirements.

The facility is comprised of two parts that may be used in any combination up to $10 billion. The first is a purchase commitment for up to $10 billion of rated asset-backed securities. The securities can range in credit risk from Aaa to Bb and can be backed by U.S. assets, including SmartLease and dealer floor plan assets.

The second component is a commitment to purchase up to $4 billion of unrated notes backed by other U.S. assets not typically financed by GMAC in its other secured funding programs. GMAC says it will continue to service the assets.

GM is looking to complete the sale of the controlling interest in GMAC by the end of the year. The transaction is contingent on the Federal Deposit and Insurance Corp. approving the change in control of the financing company.

But the FDIC announced a 6-month moratorium on decisions regarding the change in control in industrial loan companies, GM said in a securities filing last month, which could push the completion of the deal into January.