Daily News: May 24, 2013

GE Considers IPO for Parts of Shrinking GE Capital

Bloomberg reported that GE is considering spinning off parts of its finance unit through an IPO as CEO Jeffrey Immelt works to shrink the business.

“In financial services, putting things up for sale with the assumption that a bank would buy it has been a fool’s journey,” Immelt is quoted saying by Bloomberg at a recent conference in Florida. “So the only way you’ve been able to think about this is by thinking about IPOs.”

In a related story that appeared in the American Banker, Immelt is quoted as saying the businesses that GE may exit “are great assets, fantastic, but we think our commercial finance assets are very strong and very consistent with our competitive advantage.” Immelt added, according to the American Banker, “The capital markets are very receptive to IPOs and lot of different technologies today, so you basically have as good a setting as you could possibly have.”

To read the entire Bloomberg story, click here.

To read the entire American Banker story, click here.