Boston, MA 02/05/2014 (wallstreetpr) – Indonesia which has turned out to be one of the fastest growing economies in Asia has attracted the interest of one of America’s largest multinational conglomerates, General Electric Company (NYSE:GE). In a spun of three years GE intends to invest a total of $300 million in Indonesia in the effort of increasing its market share and spread its wings to a wider customer range. At the back of a total $1 billion in total revenues, GE intends to reach double digits on growth as of close of business in 2014. The only drawback to the proposed investment lies on the fact that, there are impending elections which are going to affect infrastructure project decisions.
Why Indonesia
Indonesia has been chosen as the suitable market as it is experiencing steady macroeconomic growth at the back of serious infrastructure development. General Electric Company (NYSE:GE) has a big interest in Indonesia including sectors of transportation, energy, aviation, oil, gas and health. GE intends to cooperate with already established companies in Indonesia. The company currently works with Indonesia national airline Garuda Indonesia and mandated to maintain their CFM 56-74B engines. The company intends to expand its manufacturing of Christmas trees that are normally used for petroleum and natural gas extraction in the region.
GE in the right direction
General Electric Company (NYSE:GE) has been trying to focus mainly on its industrial segment that it sees as a viable solution able to guarantee a successful future. The company wants to bring down its capital reliance to a low of 30 % as it currently accounts to about 45% of total earnings. This will be achieved by the company spinning off its reliance on the consumer finance business. General Electric is also planning for an initial public offering that it intends to use to boost its cash flow balance.
General Electric Company (NYSE:GE) closed trading on Tuesday at a high of $24.57 a slight improvement of 0.90%.
