GE Shares Soar on Deal to Sell its BioPharma Business to Danaher

936
SHARE

In a statement, GE Chairman and CEO Lawrence Culp, Jr. said, “Today’s transaction is a pivotal milestone.  It demonstrates that we are executing on our strategy by taking thoughtful and deliberate action to reduce leverage and strengthen our balance sheet.”

“We are retaining full flexibility for growth and strategic optionality with one of the world’s leading healthcare companies…A more focused portfolio is the right structure for GE, and we have many options for maximizing shareholder value along the way,” added Culp.

GE Transportation completes merger with Wabtec

Separately, the multinational conglomerate completed the spin-off and subsequent merger of its transportation business and Wabtec Corporation (NYSE: WAB).

Culp said the combined GE and Wabtec have “stronger and more diversified business mix to serve its customers. The deal is “good for GE shareholders.”

Under the terms of the deal, which were previously disclosed, the multinational conglomerate distributed all 8.7 billion common shares of Transportation Systems Holdings (SpinCo) with respect to the outstanding common stock of GE on February 14 by means of pro rata distribution.