GE stock rises after filing for healthcare IPO

General Electric shares are up after announcing an IPO for its healthcare division.

General Electric (GE) stock is soaring after reports of the corporation confidentially filing for an initial public offering (IPO) for its healthcare division, GE Healthcare. GE’s stock has grown by almost 10% after the news was announced.

GE rebounds after tough year

GE has had a disappointing year after disappointing third quarter (Q3) earnings. Shares had fallen to its lowest point in years after the drop in its fossil fuel division. While its gas section is down, the healthcare and life sciences sections are still profitable. GE Healthcare has earned $3.5 billion from its sales of medical equipment like MRI scanners.

GE wouldn’t directly comment on the IPO plans, but has commented in an email about spinning off its healthcare section from its other businesses.

‘As we announced in June, GE intends to separate its healthcare business, but we have not confirmed the form or timing. As an independent global healthcare business, GE healthcare will have greater flexibility to pursue future growth opportunities, react quickly to changes in the industry and invest in innovation,’ noted GE in an emailed statement.

How GE could benefit from healthcare IPO

When GE launches its healthcare IPO, it could be a very lucrative decision. The GE healthcare IPO could possibly be worth up to $70 billion, according to financial experts. The IPO is expected to debut in mid-2019.

IGA, may distribute information/research produced by its respective foreign affiliates within the IG Group of companies pursuant to an arrangement under Regulation 32C of the Financial Advisers Regulations. Where the research is distributed in Singapore to a person who is not an Accredited Investor, Expert Investor or an Institutional Investor, IGA accepts legal responsibility for the contents of the report to such persons only to the extent required by law. Singapore recipients should contact IGA at 6390 5118 for matters arising from, or in connection with the information distributed.

The information/research herein is prepared by IG Asia Pte Ltd (IGA) and its foreign affiliated companies (collectively known as the IG Group) and is intended for general circulation only. It does not take into account the specific investment objectives, financial situation, or particular needs of any particular person. You should take into account your specific investment objectives, financial situation, and particular needs before making a commitment to trade, including seeking advice from an independent financial adviser regarding the suitability of the investment, under a separate engagement, as you deem fit.

Please see important Research Disclaimer.

See an opportunity to trade?

Go long or short on more than 17,000 markets with IG.

Trade CFDs on our award-winning platform, with low spreads on indices, shares, commodities and more.

Live prices on most popular markets

  • Forex
  • Shares
  • Indices
Sell
Buy
Updated
Change
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
Sell
Buy
Updated
Change

Prices above are subject to our website terms and agreements. Prices are indicative only. All shares prices are delayed by at least 15 mins.

Sell
Buy
Updated
Change
-
-
-
-
-
-
-
-
-
-
-
-
China 300
-
-
-
-

Prices above are subject to our website terms and agreements. Prices are indicative only. All shares prices are delayed by at least 20 mins.

The Momentum Report

Get the week’s momentum report sent directly to your inbox every Monday for FREE. The Week Ahead gives you a full calendar of upcoming key events to monitor in the coming week, as well as commentary and insight from our expert analysts on the major indices to watch.

For more info on how we might use your data, see our privacy notice and access policy and privacy webpage.

You might be interested in…

Find out what charges your trades could incur with our transparent fee structure.

Discover why so many clients choose us, and what makes us a world-leading provider of CFDs.

Stay on top of upcoming market-moving events with our customisable economic calendar.