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GE shares are up 0.54% on Monday at $25 a piece.
The industrial unit makes circuit breakers and other components used for operating power grids.
ABB bought the unit hoping to gain a bigger footprint in the US. It also said it hopes to replace some of GE’s outdated offerings with its own.
The sale comes shortly after GE’s new CEO, John Flannery, completed his 100-day review of the company. Flannery took over for Jeff Immelt amid investor concerns about the company’s lagging stock performance relative to the general market.
GE’s stock is down 20.96% this year, while the S&P 500 is up 10.7%.
- Markets Insider