Drama and alcohol seem to go hand in hand (especially on reality TV) and the wine business is proving to be no exception. The end seemed all but nigh for Australia’s struggling Treasury Wine Estates (TWE.AX) when two different private equity firms, KKR/Rhone and (allegedly) TPG, bid A$5.20 per share for the company. That ~$3.15b valuation already represented a… Read More »
Companies constantly change their plans and just because a spinoff gets announced doesn’t mean it actually gets done. It’s (unfortunately) quite common for plans to get scrapped or altered in some way and sometimes the unit to be spun off is just sold instead. While we try our best to stay on top of the news, some names get… Read More »
Just a few months after spinning off its low margin paper and pulp automation business, Metso (OTC:MXCYY) confirmed that it received an ‘unsolicited approach’ from the Weir Group (OTC:WEIGY) about a possible combination. Although the financial terms of the offer were not released, Metso’s shares still spiked over 20% after the rumors came out. Weir’s Board believes that ‘there… Read More »
After a few stops in Australia, the international spinoff (or demerger as the rest of the world calls them) tour continues in Europe with Metso’s (OTC:MXCYY) recent separation of its pulp, paper and power business. The demerger was registered on December 31st and shares in the new company, Valmet Corporation (HLSE:VALMT), began trading on the NASDAQ OMX Helsinki… Read More »
Continuing with the Australian theme from yesterday, wooden pallet maker Brambles (ASX:BXB) recently completed the demerger of its information management and document storage business, Recall Holdings (ASX:REC). I bet that if you work for a large company and look around the office then you will see a bunch of ‘Recall’ boxes lying around. Shareholders overwhelmingly approved of the… Read More »
Amcor’s (ASX:AMC) shareholders overwhelmingly approved the demerger of Orora (ASX:ORA), its Australasia and Packaging Distribution business, at a shareholder meeting last week with over 99% of the votes cast in favor. Shareholders will end up owning two distinct packaging companies with different focuses and end markets. While the board considered numerous options for the business, in the end they… Read More »
Amcor Limited (AMCRY) recently held its Annual General Meeting (AGM) and not surprisingly there was a lot of talk about the planned demerger of its Australasia Packaging and Distribution business, which will be named Orora. In fact, both company Chairman Chris Roberts and Managing Director Ken MacKenzie spent a good chunk of their remarks extolling the virtues of the spin and gushing… Read More »
DE Master Blenders 1753’s (DE.AS or DEMBF) listing on the NYSE Euronext will be terminated on Tuesday, October 29th. To be fair, this is a mere formality as the stock hasn’t really traded much in the months following the takeover announcement by privately held Joh A Benckiser. While it’s been awhile since the board approved buyout offer rolled in, the ensuing… Read More »
The death knell appears to be ringing for Telecom Italia’s (TI) fixed line spinoff. According to this Bloomberg piece, the company plans to ask its board of directors to withdraw its approval for the spin, which would put an end to a process which has been going on for over a year. That is a loooong time and… Read More »
The long, drawn out Osram (MU:OSR) saga finally came to a close a few weeks ago when ~80% of the shares in the lighting company were officially listed on July 8th. Siemens (SI) shareholders received one share of Osram for every 10 shares of Siemens owned. The shares are currently trading on foreign exchanges as there doesn’t appear to… Read More »
The Wall Street Journal reports that Telecom Italia(TI) has put its planned spinoff of fixed line assets on hold following a decision by regulator AGCOM to cut the wholesale rates that others firms pay to the fixed line business. After an extraordinary board meeting, the former state-owned company said the continuation of the project is subject to verification… Read More »
What to do when your company, whose main business is building and managing high quality roads, also owns a securities business? Alert readers here will instantly know the correct answer- SPIN! Zhejiang Expressway(ZHEXY), a Chinese company “is an infrastructure company principally engaged in investing in, developing and operating high-grade roads. The Group also carries on certain other businesses… Read More »
After several years of delays, Gavin Thomas, CEO of Australian miner Kingsgate Consolidated, tells Dealbook Australia that the company’s Thai unit, Akara Mining, may IPO in Thailand next June. Presumably, no shares of the newly separated unit would be distributed to shareholders, but this would allow the company to raise money to fund the development of its Thai… Read More »
Just a few months after initiating a strategic review of its options, Cookson (LSE:CKSN) got the go ahead from its largest shareholder to proceed with a spinoff of its performance materials division. The new company will be named Alent plc and become a leading ‘global supplier of advanced surface treatment plating chemicals and electronics assembly materials’. This isn’t… Read More »
The entire world may drool over the BRICs, but in terms of spinoffs only the ‘B’ (as in Brazil) seems to matter. Homebuilder Gafisa SA (GFA) is the country’s latest potential spin opportunity as the company announced that it is considering its strategic options – a phrase that often includes a sale, IPO or spinoff – for its Alphaville Urbanismo SA project.… Read More »