State Street to Buy GE Asset Management for Up to $485 Million

Grow Your Business, Not Your Inbox

Stay informed and join our daily newsletter now!
Will be used in accordance with our Privacy Policy
1 min read
This story originally appeared on Reuters

State Street Corp. said it would buy General Electric Co.'s asset management business for up to $485 million as the industrial conglomerate winds down its financing arm to reduce regulatory burden.

The deal, which could boost State Street's assets under management by about $100 billion, is expected to be finalized early in the third quarter.

GE said proceeds from the transaction would be deposited into its pension trust.

Reuters reported in early February that Boston-based State Street has prevailed over other bidders, including Goldman Sachs Group Inc., for the business.

GE has been disposing assets off GE Capital, a $200 billion financing business, as it seeks to return to its industrial roots.

GE's asset management arm managed $115 billion in assets as of June 30. It manages retirement plans for a vast majority of the company's 130,000 U.S. employees, as well as assets for outside institutional investors.

 
 

State Street had $28 trillion in assets under custody and administration and $2 trillion in assets under management as of the end of December.

(Reporting by Sruthi Shankar in Bengaluru; Editing by Don Sebastian)

More from Entrepreneur

Get heaping discounts to books you love delivered straight to your inbox. We’ll feature a different book each week and share exclusive deals you won’t find anywhere else.
Jumpstart Your Business. Entrepreneur Insider is your all-access pass to the skills, experts, and network you need to get your business off the ground—or take it to the next level.
Create your business plan in half the time with twice the impact using Entrepreneur's BIZ PLANNING PLUS powered by LivePlan. Try risk free for 60 days.

Latest on Entrepreneur

Entrepreneur Media, Inc. values your privacy. In order to understand how people use our site generally, and to create more valuable experiences for you, we may collect data about your use of this site (both directly and through our partners). By continuing to use this site, you are agreeing to the use of that data. For more information on our data policies, please visit our Privacy Policy.