GE retreats from banking business, sells GE Capital for $26.5B

April 10, 2015 5:15 PM

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The company announced Friday its exit from the lending business includes a $26.5 billion sale of its real estate holdings, including factories and apartment complexes. A bulk of it has already been purchase by Wells Fargo and private equity firm Blackstone. GE said it will keep its aircraft leasing operation as well as smaller lending lines, but other operations will be sold or spun off in the next two years.

The move will create "a simpler, more valuable company" by reducing the size of its financial and real estate arm, the company said. The company will also buy back up to $50 billion of its own shares in an effort to push up stock prices.

Also read: GE Takes Hit From Old Mortgage Unit but Says Turnaround on Track

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