General Electric (NYSE:GE) has been cutting down its capital unit ever since it lost $32 billion during the credit crisis. As part of the effort to patch this hole, GE is considering selling off its 33 percent stake in Bank of Ayudhya, a Thai lender bank. The Thai bank has a market value of $6.7 billion, which puts GE’s stake at about $2.2 billion. GE first invested $584 million in the bank in 2007.
Don’t Miss: Amazon Has This GIFT for New Kindle Buyers.
Sasikorn Charoensuwan, head of research at Thailand’s Phillip Securities said, “GE could receive a very good price from this sale.” The bank is trading at 1.9 times book value. The Thai media has previously reported that potential buyers could include Malaysian lender CIMB Group Holdings. GE has sold just under $4 billion in assets this year, the largest transaction being the sale of Business Property Lending to EverBank Financial (NYSE:EVER) in July.
Catalysts are critical to discovering winning stocks. Check out our newest CHEAT SHEET stock picks now.