(Bloomberg) -- General Electric Co.’s health-care business will retain about $15.4 billion in debt and pension liabilities when it is spun off in the first week of January.
Most Read from Bloomberg
Here’s How Weird Things Are Getting in the Housing Market
Intel Plans Thousands of Job Cuts in Face of PC Slowdown
Home Flippers Get Burned by US Housing Market’s Sudden Slump
Jamie Dimon’s S&P 500 Bear Market: Brutal, Far From Unimaginable
It’s Official: The Fed’s in the Red
The balance for the new unit, which will be known as GE HealthCare, includes about $10.2 billion in senior notes and term loans plus about $5.2 billion in pension and other post-retirement liabilities, according to documents filed with the Securities and Exchange Commission Tuesday.
GE HealthCare plans to have about $1.8 billion in cash, and line up $3.5 billion in credit. It doesn’t expect to tap those facilities at the time of the spinoff, the filing said.
Breaking off GE’s health-care division into a separate company is part of a broader restructuring of the 130-year-old former titan of manufacturing. In November, Chief Executive Officer Larry Culp said the company will also separate its power-equipment, renewable energy and digital businesses, leaving GE as an aerospace-focused company. The other business will spin off in 2024.
GE shares rose 0.5% in after-hours trading Tuesday.
Most Read from Bloomberg Businessweek
The Twitter Deal Has Pierced Elon Musk’s Reality Distortion Field
The Great Post-Covid Online Shopping Bet Was a Costly Delusion
Even After $100 Billion, Self-Driving Cars Are Going Nowhere
Hedge Fund Managers Paid for Stockpicking Genius Aren’t Showing Much of It
A New Silicon Valley Emerges at the Arctic Circle
©2022 Bloomberg L.P.
