(AP) -- General Electric will divide itself into three public companies focused on aviation, healthcare and energy.
The company said Tuesday that it will spin off its healthcare business in early 2023 and its energy segment -- which includes its renewable energy, power, and digital businesses -- in early 2024. GE will maintain a 19.9% stake in the healthcare unit.
"By creating three industry-leading, global public companies, each can benefit from greater focus, tailored capital allocation, and strategic flexibility to drive long-term growth and value for customers, investors, and employee Chairman and CEO Lawrence Culp Jr. said in a prepared statement.
Culp will become non-executive chairman of the healthcare company. He will continue to serve as chairman and CEO of GE until the energy business is spun off, then lead the aviation company.
The company expects one-time separation, transition, and operational costs of approximately $2 billion related to the split, which will require board approval.
GE, based in Boston, also announced that it expects to lower its debt by more than $75 billion by the end of the year.