General Electric Splits |
Iconic US manufacturing and technology giant General Electric announced yesterday it would split into three companies focusing on the firm's healthcare, power, and aviation units. Officials said the move would bring focus to the separate divisions, allowing the creation of industry-specific boards and broadening the investor base for each.
With a history dating back to Thomas Edison, GE was one of the original 12 companies listed on the Dow Jones Industrial Average at its launch in 1896. In the mid-2000s, it was the world's largest company by market share, but began shedding divisions following the 2008-09 recession. The company's stock price has remained flat relative to prepandemic levels, and has lagged both competitors and the tech giants that now dominate more than a quarter of the S&P 500.
The company's stock rose 2.7% on the news. |
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