olmsted

When not engaged as a defense analyst, an individual investor focusing on special situations: distressed debt and equities, spinoffs, generally unloved and underfollowed securities.

Author Archives: olmsted

Georgia (Gulf) On My Mind, Or Is It Axiall?: Investors Sing An Old Sweet Song as An Exchange Offer Brings Profits, New Name

By |
0 Comment

The trend towards tax-efficient divestitures continues with Axiall (AXLL) – previously called Georgia Gulf Corporation – obtaining PPG’s (PPG) former commodity chemicals business using a Reverse Morris Trust.  The trend of using Reverse Morris Trusts to ‘sell’ divisions has been previously reported by Stock Spinoffs here. In the transaction, PPG created a short-lived spinoff, Eagle Spinco, and allowed… Read More »

Peltz Gains Board Seat, Pushes for Breakup at Ingersoll Rand

By |
0 Comment

This author wonders what activists will do once the market’s conglomerates have all been broken up.  Nelson Peltz of Trian Group gaining a board seat at Ingersoll Rand may be the latest harbinger of yet another spinoff on the horizon.  Peltz had been trying to get a board seat and push for change but the company up to this point… Read More »

Liberty Interactive – Not a Spinoff (Well, Sort Of)

By |
3 Comments

For followers of John Malone and his family of companies, frequent restructurings are nothing new.  And he continues to provide special situation investors plenty to do.  On the heels of the announced Starz spin, Liberty Interactive executed a previously announced splitoff of the company into new tracking stocks Liberty Interactive (LINTA) and Liberty Ventures (LVNTA).  Since the company is remaining one… Read More »

Highfields Capital Pushes Genworth Financial To Let Go Of Mortgage Insurance

By |
0 Comment

Breakups seem to have become activists’ favorite tools when faced with an underperforming company. Following John Paulson’s pressure to Hartford to spin off its life business, Highfields Capital has disclosed it is in talks with Genworth Financial(GNW) with options that may include a spinoff of its mortgage insurance business. Highfields, a Boston-based hedge fund still run by co-founder… Read More »