GE Agrees to Sell BioPharma Unit to Danaher in $21.4 Billion Deal

The transcript discusses GE's $21 billion deal involving cash and pension liabilities, highlighting its impact on GE's financials and leverage. The deal is seen as a positive step for GE, addressing balance sheet concerns. The future of GE's healthcare business is uncertain, with speculation about its IPO. The discussion also covers GE's cash flow needs and business strategy, emphasizing the importance of managing cash flow amid challenges in the power unit and GE Capital. Danaher's acquisition of GE's life sciences assets is analyzed, noting Danaher's expertise in capital allocation and business management.

What is the total value of the deal between GE and Danaher, including pension liabilities?

• $21 billion

• $20 billion

• $22 billion

• $21.4 billion

Why is passing on pension liabilities considered a positive step for GE?

• It reduces GE's cash flow

• It decreases GE's market share

• It increases GE's leverage

• It alleviates some balance sheet stress

What is the main concern regarding the remaining healthcare assets of GE?

• They have high operational costs

• They are not growing as fast as life sciences

• They are not profitable

• They are not appealing to investors

What is Danaher known for in terms of business strategy?

• Focusing on a single industry

• Avoiding acquisitions

• Great capital allocation

• High-risk investments

What was ruled out by Larry Culp regarding GE's jet leasing business?

• An expansion

• A sale

• A merger

• A shutdown