Share Prices Plummet Following Divestitures in 2019
Almost two-thirds of companies are seeing their stock prices underperform industry benchmarks, with the average underperformance at 7%.
Sears Accuses ex-CEO of Looting $2B in Assets
The bankrupt retailer alleges Eddie Lampert and other investors siphoned off assets for their own gain through fraudulent spinoffs and other deals.
The Link Between Divestitures and Share-Price Malaise
An extensive study counterintuitively reveals that a majority of divestitures are accompanied by lagging stock performance for the divesting firm.
United Technologies Ditches Conglomerate Model
The company is spinning off its Otis and Carrier businesses in a "pivotal" move to "drive sustained growth."
Honeywell Raises Guidance Ahead of Spinoffs
“Our financial outlook is as positive as it has ever been,” says CFO Greg Lewis.
Six Key Steps to a Successful Spinoff
From higher profits to enhanced TSR to tax benefits, a spinoff can generate great value for both the existing and spun-off companies.
Honeywell to Spin off $7.5B in Businesses
The company's aerospace unit will remain in its portfolio despite pressure from activist investors to spin it off.
Yahoo Shelves Plan to Spin off Alibaba Stake
The company cites tax considerations in deciding to focus instead on a reverse spinoff of its $23 billion investment.
Lockheed Martin to Buy Sikorsky Aircraft for $9B
The Sikorsky deal and a "strategic review" of commercial and government businesses are part of a major reshaping of Lockheed under CEO Marillyn Hewson.
Johnson Controls Mulling Auto Parts Spinoff
Breakup of industrial parts maker would continue trend toward leanness in corporate America.
Investment-Grade Spinoffs Likely to Keep Rating
Moody's report finds that 75% of investment-grade spinoffs avoided drop into speculative-grade territory.