General Electric Co (NYSE:GE) saw its shares ticking higher after announcing plans to slash its dividend by half, in a bid to help drive growth and value for shareholders.
In a statement, the conglomerate said dividend would be cut to 12 US cents a share from 24 US cents a share, effective from the next dividend announcement in December.
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"We understand the importance of this decision to our shareowners and we have not made it lightly," said GE Chief Executive John Flannery.
"We are focused on driving total shareholder return and believe this is the right decision to align our dividend payout to cash flow generation."
GE was expected to outline plans to focus on three of its largest business divisions but not breaking up or undergoing a more radical restructuring plan.
In premarket, its shares were up 0.78% at US$20.62.