GE Sells Biopharma Unit for $21B
CBJ — In a major business transaction just announced, General Electric is selling its biopharma business to Danaher for US$21.4 billion as it continues to search for efficient methods of moving forward with what it considers core business opportunities.
It’s been reported that the biopharma unit generated about $3 billion in revenue in 2018.
Danaher is a medical technology company based in Washington, D.C.
GE has downsized considerably since becoming embroiled in a huge financial crisis that began more than a decade ago. GE has already unloaded many subsidiary companies and analysts expect more is to come.
In addition to swapping out several key senior executives, GE said this month that it would downsize its world headquarters in Boston and return $87 million in incentives it received from Massachusetts for moving from Connecticut three years ago. It also dropped plans to build a 12-story office tower on the city’s waterfront that was to be the centerpiece of its new global headquarters.
Despite ongoing struggles in its power division, GE still generates strong revenues, but has taken note that it needs to focus more on core business and not branch out to far from its traditional strengths.