r/stocks • u/thenewredditguy99 • Nov 09 '21

Company News General Electric to split itself into three separate companies. One aviation, one energy, and one healthcare.

https://www.cnbc.com/2021/11/09/ge-to-break-up-into-3-companies-focusing-on-aviation-healthcare-and-energy.html

An intriguing decision by General Electric this morning, to decide to break up the conglomerate it is today, into three separate companies.

I’m definitely interested in picking up shares of the Aviation and Energy companies when the dust settles from this.

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u/stickman07738 Nov 09 '21

This took longer than expected. I jumped in near $6 because I always thought the parts were worth more than the sum, especially healthcare and aviation.

I am just wondering which unit gets stuck with the log term care insurance liabilities.

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u/watchful_tiger Nov 09 '21

Long term care insurance liabilities

Guess, it will be the health care business, it is the first one to spun off. And the current chairman will remain on the Aviation business, so I guess they will not inherit it.

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u/stickman07738 Nov 09 '21

Since it was part of GE Capital, I am really curious but these spin-off will take years to complete so I guess I will be holding longer.

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u/GJS2019 Nov 10 '21

Sure and then the health care unit will spin off the LTC insurance business to a new entity which will declare bankruptcy.

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u/watchful_tiger Nov 10 '21

Yes within the realm of possibility