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GE Sells Real Estate to BX/WFC, Selling Off GE Capital, $50B Buyback
Continued attempts to simplify the company and make it a pure play industrial conglomerate. ---
GE, in a move to become a pure play industrial company, is exiting the financial services business by selling the bulk of the assets contained in its GE Capital unit and returning most of the proceeds from that disposition to shareholders in the form of a $50 billion share buyback
For those of us not purchasing industrial equipment, this announcement is still relevant, as it appears GE will continue to own GE Capital Bank (one of the most sound and highest yielding internet banks), even as it finishes spinning off Synchrony (formerly GE Capital Retail Bank, acquired from Met Life).
If you need a scorecard to keep these separate, here's a good thread on Fatwallet, with links to each of the bank's descriptions of themselves. http://www.fatwallet.com/forums/finance/1306724/
Reviewed this news late yesterday and attempted to make a connection with this real estate transaction to the recent downward move of real estate funds. I don't really find a reason, otherwise; with the exception of profit taking.
Reviewed this news late yesterday and attempted to make a connection with this real estate transaction to the recent downward move of real estate funds. I don't really find a reason, otherwise; with the exception of profit taking.
Real estate stocks were hit when treasury yields moved up the other day. As I've noted before, expect pullbacks in REITs and many of them are overbought or considerably overbought with people reaching for yield.
Comments
http://www.genewsroom.com/press-releases/ge-create-simpler-more-valuable-industrial-company-selling-most-ge-capital-assets
For those of us not purchasing industrial equipment, this announcement is still relevant, as it appears GE will continue to own GE Capital Bank (one of the most sound and highest yielding internet banks), even as it finishes spinning off Synchrony (formerly GE Capital Retail Bank, acquired from Met Life).
https://www.depositaccounts.com/banks/ge-capital-financial-inc.html
If you need a scorecard to keep these separate, here's a good thread on Fatwallet, with links to each of the bank's descriptions of themselves.
http://www.fatwallet.com/forums/finance/1306724/
Stock may finally be getting some momentum.
Would be good to see it keep it.
Been a long time since it held levels above $27.
http://www.bloomberg.com/news/articles/2015-04-10/blackstone-wells-fargo-to-buy-23-billion-of-properties-from-ge?cmpid=yhoo