BOSTON — GE announced that it will proceed with the 1-for-8 reverse stock split previously approved by GE shareholders at the annual meeting of shareholders on May 4, 2021. GE plans to file an amendment to its certificate of incorporation to effectuate the reverse stock split after the close of trading on July 30, 2021, and GE common stock will begin trading on a split-adjusted basis on August 2, 2021.
GE Senior Vice President and Chief Financial Officer, Carolina Dybeck Happe said, “GE has divested a number of businesses over the last several years—including nearly all of GE Capital—without any corresponding adjustments to reduce our share count. The reverse stock split will better align GE’s number of shares outstanding with companies of our size and scope. It also marks another step in GE’s transformation to be a more focused, simpler, stronger high-tech industrial company.”
When the reverse stock split is effective, every eight shares of GE common stock issued and outstanding or held as treasury shares as of the effective date will be automatically combined into one share of GE common stock. This will reduce the number of outstanding shares of GE common stock from approximately 8.8 billion to approximately 1.1 billion. Concurrently with the reverse stock split, GE’s amended certificate of corporation will also proportionately reduce the number of shares of GE common stock authorized for issuance and reduce the par value of GE common stock to $0.01 per share.
Outstanding GE equity-based awards and shares or share units under GE benefit plans will be proportionately adjusted. No fractional shares will be issued in connection with the reverse stock split. Shareholders of record otherwise entitled to receive a fractional share as a result of the reverse stock split will receive a cash payment in lieu of such fractional shares.
GE common stock will continue trading on the New York Stock Exchange (under the symbol “GE”), but will trade under a new CUSIP number, as well as on the London Stock Exchange (under the symbol “GEC”), Euronext Paris (under the symbol “GNE”), the SIX Swiss Exchange (under the symbol “GE”) and the Frankfurt Stock Exchange (under the symbol “GEC”), but will trade under a new ISIN number starting on August 2, 2021.
Additional information concerning the reverse stock split can be found in GE’s definitive proxy statement filed with the Securities and Exchange Commission (the “SEC”) on March 22, 2021, as well as on GE’s Investor Relations website.Tagged with GE