Get 40% Off
⚠ Earnings Alert! Which stocks are poised to surge?
See the stocks on our ProPicks radar. These strategies gained 19.7% year-to-date.
Unlock full list

GE Vernova set for April spin-off as independent energy firm

Published 16/02/2024, 10:44 am
Updated 16/02/2024, 10:44 am
© Reuters.

BOSTON - General Electric (NYSE:GE) has taken a significant step towards the spin-off of its energy segment, GE Vernova, with the filing of a Form 10 registration statement with the U.S. Securities and Exchange Commission.

The move, announced Thursday, is a key part of GE's strategic plan to establish GE Vernova as a standalone public company and marks the latest development following GE's robust performance in 2023.

GE Vernova, which is expected to list on the New York Stock Exchange under the ticker symbol GEV, is slated to separate from GE in early April. The spin-off is contingent on final approval from the GE Board of Directors, among other customary conditions, and is intended to be tax-free for U.S. federal income tax purposes.

According to GE Chairman and CEO H. Lawrence Culp, Jr., the spin-off will launch GE Vernova as an independent entity poised to drive electrification and decarbonization on a global scale. Culp emphasized the company's strong financial position, which will support the creation of two well-capitalized, investment-grade entities: GE Vernova and GE Aerospace.

GE Vernova, led by CEO Scott Strazik, is described as a purpose-built company with a focus on the electric power industry. The company expects to leverage its position in a $1.4 trillion market, where it currently serves 20% of the growing demand. With over 80,000 employees in more than 100 countries and a commitment to invest $1 billion in R&D in 2024, GE Vernova aims to innovate and advance global sustainability.

The Form 10 details GE Vernova's organization into three operating segments: Power, Wind, and Electrification. These segments encompass a range of technologies and services critical to the generation, transfer, and storage of electricity. Additionally, GE Vernova's Accelerator businesses, which include Advanced Research, Consulting Services, and Financial Services, are expected to support its core operations.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.