December 16, 2016 Comments Off on GE Selling Business Units for Profit Views: 205 Connecticut, National News, Northeast

GE Selling Business Units for Profit

General Electric Co. is looking to offload two of its smallest business units to raise $4 billion in capital, as well as cut $1 billion worth of expenses. GE is selling its Industrial Solutions business, an equipment supplier for grid industries, and its water business.

Combined, the two units produce $5 billion in annual revenue, but as the company looks to meet its $2 per share target by 2018, it needs to infuse new sources of revenue. GE’s CEO Jeff Immelt is continuing to believe in a strategy of consolidating business units to  focus the company on heavy industrial equipment and software services.

Over the last 15 years, GE has grown its foreign business by double the amount it has its domestic, which shows the company’s strong support of globalization. With 150 million square feet globally of factory space, GE is looking to close some domestic facilities, which is the opposite of what President-elect Donald Trump would like to happen.

Read More at The Wall Street Journal

For comments, questions or concerns, please contact Daniella Soloway

Share on FacebookTweet about this on TwitterShare on LinkedInEmail this to someone

Tags: , , , , , ,

Comments are closed.