What a mammoth acquisition.

USA Today is reporting that Chinese home appliance manufacturer Haier Group has come to terms to buy General Electric's appliance division for $5.4 billion. This purchase only bolsters Haier — already the world's largest home appliance producer — helping to turn it into a premium brand.

"GE Appliances is performing well and there was significant interest from potential buyers, helping drive a good deal which will benefit our investors, customers and employees," GE chairman and CEO Jeff Immelt told USA Today, adding that the company is committed to growing worldwide. "Haier has a stated focus to grow in the U.S., build their manufacturing presence here, and to invest further in the business."

Selling its home appliance unit also gives GE the opportunity to focus on medical equipment and clean energy — areas toward which the conglomerate has been shifting anyway.

Under the agreement, GE home appliances will remain in Louisville, KY, at least for now.

Zhang Ruimin, chairman and CEO of Haier Group, added to USA Today: "This transaction underscores Haier's devotion to creating a global platform for innovation, which will benefit both Haier and GE Appliances and deliver enhanced value to all stakeholders."

The collaborating companies will also work together in areas such as health care, advanced manufacturing and the Internet, as reported by USA Today.

Haier's acquisition must still be given the green light by antitrust regulators in China and the U.S.

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