General Electric Co. GE stock,
rose 2.7% toward a three-year high in Monday morning trading as the industrial conglomerate is close to a more than $ 30 billion deal to combine its aircraft leasing business with AerCap Holdings NV AER, based in Ireland.
according to a report by The Wall Street Journal. GE shares, which are headed for a fourth consecutive gain, are up 29.3% year-to-date, to add to a record quarterly increase of 73.4% in the fourth quarter. The WSJ report, which cites people familiar with the matter, said GE’s aircraft leasing unit, known as GE Capital Aviation Services (Gecas), is the remaining majority of GE Capital, which GE has been looking to divest. for years as part of his plan. to shore up your balance sheet. In 2020, GE Capital suffered a revenue decline of $ 1.5 billion, or 17%, from the previous year, primarily due to GECAS, which was hit hard by the COVID-19 pandemic and the effects of Boeing Co. BA ,
737 MAX grounded. In the last 12 months, GE shares have rallied 48.6%, while the SPDR Industrial Select Sector ETF XLI,
is up 30.5% and the S&P 500 SPX,
it has advanced 29.9%.