Electrolux paid GE a $175 million termination fee yesterday, formally ending its planned acquisition of the conglomerate’s appliance business.
The break-up fee was a right-of-refusal stipulation of the proposed $3.3 billion buyout, which GE withdrew from this week amid stiff resistance from the Justice Department.
It is unclear what plans GE has for its white-goods business, which it no longer considers a strategic fit and has repeatedly tried to sell or spin off in recent years.
Elsewhere, Electrolux also announced cost cuts within its small appliances operations in the U.S., Sweden and China, including staff reductions and “downsizing of activities.” The effort is expected save the company about 120 million SEK annually.
- 2019 TWICE Top 100: Watch List - May 23, 2019
- 2019 TWICE Top 100: Consumer-Direct Sales Dominate The Charts - May 22, 2019
- 2019 TWICE Top 100: Best Buy Keeps The CE Crown, But Barely - May 21, 2019