PayPal announces that as a part of an expanded relationship between the two companies it had agreed to sell $5.8 billion in consumer credit receivables to Synchrony Financial. The deal closed with Synchrony actually acquiring $7.6 billion in receivables, including PayPal’s U.S. consumer credit portfolio totaling $6.8 billion at the close. Around $0.8 billion in participation interests held by unaffiliated third parties.

Approximately $6.9 billion in total consideration at the time of closing was received by PayPal.

As a result of the news, with PayPal’s and Synchrony’s shares both went up by 0.7 and 0.6 percent respectively.

Both the companies have been in partnership since 2004 providing people PayPal-branded credit cards that allow PayPal users to shop online and in stores. The companies have extended their credit card program till 2028 as part of the deal to sell the consumer credit receivables business. The extended r credit card program agreement even involves the PayPal Extras Mastercard and the PayPal Cashback Mastercard.

Synchrony will now be the exclusive provider of the PayPal Credit online consumer financing program in the U.S, even though 2028 in addition to that.

The sales mean that PayPal will lose the interest the loans could generate, it was one of the company’s strategies to use this billion cash in other parts or functions of the business that would produce higher returns.

It could use the cash to make other attainments like something it has already done.

Dan Schulman, president and CEO of PayPal, said in a statement “We’re pleased that we’ve completed the sale of our U.S. consumer credit receivables portfolio.” “Our agreement with Synchrony accomplishes every goal we set out for our asset-light strategy. We look forward to working with Synchrony to double down on our innovative consumer credit experiences for our customers and profitably grow the portfolio over time.”

The financial impact of the transaction will be updated by Synchrony in its second quarter 2018 earnings call.