It’s official folks. Valero (VLO) completed the spinoff of CST Brands (CST) and the company began trading today as an independent entity on the NYSE. The new company operates in the US & Canada as an independent retailer of fuel and convenience merchandise while Valero is now a “more-focused refining, wholesale marketing, and alternative fuels company.” The Motley Fool’s Jim Royal is pretty excited about this one and has already bought into the company. Not that this means much, but CST was down slightly while Valero was up over 4.5% today (as of this writing).
Valero may not be done though. During its earnings call earlier this week, the company brought up the possibility of also spinning off its midstream operations into an MLP after the CST transaction was completed. Several other companies have already successfully pursued this strategy so it is no surprise that Valero is considering the move. We will keep you updated if this progresses from idea to action.
For all of our earlier coverage of the CST Brands spinoff, click here.
Disclosure: Author holds no position in any stock mentioned.
Related articles
- Valero Set To Spin Off CST Brands on May 1 To Shareholders Of Record On April 19 (stockspinoffs.com)
- CST Brands completes spin-off from Valero – Slideshow (bizjournals.com)