US GE Empire, Disbandment Complete... 3 Companies Start Anew

General Electric (GE), once known as a symbol of American manufacturing, has completed its dismantling process.

[Image source=EPA Yonhap News]

According to AP News and CNN, on the 2nd (local time), GE completed the split of GE Aerospace and GE Vernova, and each began trading as independent publicly listed companies on the New York Stock Exchange (NYSE).

This follows GE's announcement in November 2021 that it would split into three companies: GE Healthcare, GE Aerospace, and GE Vernova. The first to spin off, GE Healthcare, was listed on Nasdaq in January last year.

CEO Larry Culp said in a statement, "With the successful launch of three independent publicly traded companies, today marks the historic final stage of GE's multi-year transformation." CNN described GE as "a general store that once did almost everything for American households," reporting that "the split of the powerful industrial icon has been completed."

GE Aerospace is a company centered on GE's remaining core business in the aviation sector. It is expected to achieve an annual operating profit of $10 billion by 2028 through sales of jet engines, turboprop engines, and more. In its first trading session, it inherited the existing GE trading ticker (GE). CEO Larry Culp, who led GE's major split, will retain his position. Amid recent rumors of Culp moving to Boeing, he avoided direct answers to related questions in an interview with CNBC on the same day.

GE Vernova, focused on the energy generation business, will be led by CEO Scott Strazik. It trades on the NYSE under the ticker 'GEV.' Meanwhile, GE Healthcare, which was listed first last year and focuses on medical businesses such as diagnostic scanners, imaging patents, and software supply, trades on Nasdaq under the ticker 'GEHC.'

On the day of trading in the New York stock market, the stock prices of the three GE-affiliated companies all closed lower. GE Aerospace fell 2.42% compared to the previous session. GE Vernova dropped 1.42%, and GE Healthcare declined 1.59%.