(Ford) Ford Motors is reorganizing its operations by separating electric and internal combustion businesses into distinct units to unlock value.
The move by Ford is geared towards scaling its electric vehicle operations, while maximizing profits.
The company’s EV business will be dubbed Ford Model E, while the traditional operations will be called Ford Blue.
Ford says it will operate the two units as distinct businesses although they will share relevant technology and company’s best practices.
The automaker will also split financial results of the units, together with Ford+ business by 2023 with the aim to bring more transparency into its operations.
The move to separate the two units has been well received by the market, with Wall Street initially calling for a spinoff of the EV operations by the automaker to unlock value.
F: NYSE is up +3.83% on premarket.
