General Electric divides itself into three companies
Health, Energy and Aeronautics. The decision becomes effective in 2023
The US multinational conglomerate founded in 1892 -active in the fields of technology and services for the aviation, energy, renewables, digital, armament production, locomotives and finance- splits itself into three units. Starting from 2023, the group will progressively divide into three independent companies, each listed on the stock exchange: Aeronautics, Energy, Healthcare. This was announced yesterday by the company, which spoke of a way to "simplify the group".
"Today is a decisive moment for GE and we are ready". "We have a responsibility to move quickly to shape the future of flight, provide precision healthcare and lead the energy transition". "By creating three global listed companies, each will benefit from increased attention and a tailored capital allocation, as well as having strategic flexibility to drive long-term growth and create value for customers, investors and employees", stated by Larry Culp, CEO of the group.
The announcement was well received by the markets: the share immediately rose by around 5%. The spin-off follows several restructurings linked to the current financial crisis, the company explains. The division procedure will be staggered and is expected to end in 2024.
AVIONEWS - World Aeronautical Press Agency