GE CEO John Flannery (left) with former GE CEO Jeff Immelt (right). Photo by Stepanie de Sakutin/AFP/Getty Images).

General Electric said Tuesday that it plans to spin off its health care business and sell its 62.5% stake in oil services company Baker Hughes. It also wants to "materially shrink the balance sheet of GE Capital" by selling $25 billion of energy and industrial finance assets by 2020.

Why it's a big deal: Because GE's prior de-conglomerizing, including yesterday's $3.25 billion sale of its distributed power unit, was just a palate cleanser. This is the main course, and it's got all the fixin's.

Deal details: GE will sell 20% of the health unit, which reported $19 billion in 2017 sales, and spin off the remainder to GE shareholders via a tax-free transaction. The Baker Hughes sales will occur over the next two to three years. Baker Hughes has a current market cap of $40.5 billion.

More from CNNMoney's Matt Egan: "The health care spin off marks a major shift by GE, which had previously said health care would remain one of its three big businesses. The division makes MRI machines and sells other medical equipment to hospitals and labs. It raked in $19.1 billion of revenue last year, accounting for 16% of the company's total sales."

Go deeper

Updated 54 mins ago - Politics & Policy

Coronavirus dashboard

Illustration: Sarah Grillo/Axios

  1. Global: Total confirmed cases as of 1 a.m. ET: 30,935,011 — Total deaths: 959,565— Total recoveries: 21,159,459Map.
  2. U.S.: Total confirmed cases as of 1 a.m. ET: 6,804,814 — Total deaths: 199,509 — Total recoveries: 2,590,671 — Total tests: 95,108,559Map.
  3. Politics: Testing czar on Trump's CDC contradictions: "Everybody is right" Ex-FDA chief: Career scientists won't be "easily cowed" by political vaccine pressure.
  4. Education: What we overlooked in the switch to remote learning.
  5. Health: The dwindling chances of eliminating COVID-19 — 7 states set single-day coronavirus case records last week.
  6. World: England sets £10,000 fine for breaking self-isolation rules — The countries painting their pandemic recoveries green.

Biden raises $141 million more than Trump

Combination images of President Trump and his 2020 presidential rival Joe Biden. Photo: Sarah Silbiger/Getty Images/Alex Wong/Getty Images

Joe Biden's campaign, the Democratic National Committee and joint fundraising committees raised $466 million cash on hand, the presidential candidate's team announced late Sunday.

Why it matters: President Trump's campaign raised $325 million, his campaign communications director Tim Murtaugh announced Friday. In the spring, Biden was $187 million behind Trump and the Republican National Committee.

Virtual Emmys address chaotic year for American TV and society

Emmy Host Jimmy Kimmel during rehearsals Friday for the 72nd Annual Emmy Awards at the Staples Center in Los Angeles. Photo: Al Seib/ Los Angeles Times via Getty Images

The Emmy Awards Sunday night addressed the major U.S. issues this year — including the protests on systemic racism and police brutality, the wildfires engulfing parts of the West Coast, the census, the pandemic, essential works and the election.

Why it matters: Award shows have always addressed wider cultural issues, but this year — amid unprecedented stress and uncertainty — that trend has accelerated.