GE Increases Percentage of Healthcare Sale

Boston, MA 1/31/18—GE announced on its fourth quarter 2018 earnings call that it now plans to sell off just under 50% of its Healthcare business as an IPO (see IBO 12/31/18). On the call, GE Chairman and CEO Larry Culp also confirmed that the IPO is scheduled for this year. The transfer of GE Healthcare’s debt and pension is expected to net $18 billion, which will be used to pay down GE’s debt. GE Healthcare’s 2018 revenue rose 4.0% to $19,017 million. Segment profit rose 6.0% to $3,698 million. 

CNBC reported that the 50% share is an increase from the 20% share spinoff that GE originally contemplated. GE’s total gross debt equals $113 billion, according to the Financial Times.

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