General Electric Co., the diverisified manufacturing, financial services and media company, said Monday it will sell the rest of its stake in Genworth Financial Inc. through a secondary public offering.
General Electric, which spun off Genworth in 2004, had said it planned to sell its holdings in the insurance holding company by the end of 2006.
General Electric will sell about 71 million Class A shares of Genworth. At Friday's closing Genworth price of $32.64 a share, the shares GE plans to sell would be worth about $2.3 billion.
At the same time, Genworth will repurchase from GE 15 million Genworth Class B shares at the net price per share of Class A common stock that GE receives in the secondary offering.
GE, whose operations include building aircraft engines, appliances and medical imaging equipment as well as the NBC television network, has been shedding less profitable businesses, such as insurance, and expanding into faster growth areas such as consumer and commercial finance.