HomeNewsWeekly market recap: General Electric to split the business, DoorDash to buy Wolt, Evergrande makes an interest payment, JNJ splitting consumer products division

Weekly market recap: General Electric to split the business, DoorDash to buy Wolt, Evergrande makes an interest payment, JNJ splitting consumer products division

Jayson Derrick

  • Doordash to acquire Wolt for $8.1 billion in stock
  • Evergrande avoids default on interest payment on dollar bonds
  • Johnson & Johnson is splitting its business operations

General Electric and Johnson & Johnson splits its companies, wolt acquired by DoorDash and evergrande avoids default.

General Electric splitting into three public companies

General Electric Company revealed plans to split into three separate public firms. The release said that it will spin off the health segment by 2023, with the energy division expected to become an independent public entity by early 2024. The third entity will be a pure-play aviation firm.

DoorDash expanding global presence with the acquisition of Wolt

DoorDash (NYSE: DASH) gained 15% after the company announced plans to acquire Wolt in a stock transaction of around $8.1 billion as it expands internationally. Wolt, which is a Finland-based platform, delivers groceries, food, and retail item. The platform currently has over 10 million users globally. DoorDash anticipates closing the acquisition in 2H 2022.

Evergrande avoids default on interest payment

Troubled Chinese developer, China Evergrande Group (HKG-03333), averted default on dollar bonds interest payments by making payments at the last minute. Many expected the company to default after the lapse of the 30-day grace period. Chinese real estate developers have been facing liquidity issues prompting the possibility of Beijing taking measures to alleviate the situation

Johnson & Johnson to split its operations 

Johnson & Johnson (NYSE: JNJ) shares jumped 1% on Friday after the company announced that it would separate its pharma and medical devices business from the consumer products division. The move seeks to create two independent publicly traded companies.  The separation of the business units will sheer of the company’s household products segments such as Listerine and Aveeno for the rapidly growing but riskier segment that manufactures and sells pharmaceutical products and medical devices.