Toronto-listed company Element Financial Corp. plans to split into two units – one devoted to its fleet-management business, the second to its financing business.

The mechanics of a potential split have yet to be determined but it will take place before the end of 2016, the company said in a release on Tuesday.

After completion of a review begun last October, company executives said they believe shareholders would have higher valuation from two stand-alone companies.

It estimates the value of Element Fleet Management, with 2,600 employees in Canada, the U.S., Mexico, Australia and New Zealand, at $19.5 billion.

Element previously acquired the Canadian operations of GE Capital's North American fleet management business in 2013  and bought its remaining business in the U.S. and Mexico last year.

Element Commercial Asset Management will include its commercial and vendor finance business and its aviation and rail asset management business. It also plans to work with a group of strategic investors to build its commercial finance business. Element estimates the value of the finance unit at $7 billion.

Bradley Nullmeyer will lead Element Fleet Management and Steven Hudson will lead Element Commercial Asset Management.

Both companies will be publicly traded and shareholders will receive stock in both companies on a tax-free basis by the end of 2016.