The drama surrounding Yahoo(YHOO)’s proposed spinoff of its Alibaba(BABA) stake continues. Though the company has said it is pushing forward and is optimistic, Barron’s reports that Morgan Stanley feels a 0% probability of the deal is priced in at the current stock price. The sentiment on the stock is now as if they’ll never make the spin happen,… Read More »
With $6 billion in cash burning a hole in its wallet, PayPal(PYPL) will not slow its aggressive acquisition program after its purchase of Xoom(XOOM). Dan Schulman, who will be CEO of PayPal following its July 17 spinoff from Ebay(EBAY), told the Financial Times that acquisitions would be a priority, as PayPal uses the $6bn war chest that is… Read More »
Amidst this great Summer Of Spin, what are the best prospects? According to Forbes’ Antoine Gara, who has also noted the flurry of spinoffs: PayPal and Baxalta(BXLT). About PayPal: PayPal is a leader in online payments, with high margins and strong revenue growth. It could prove valuable to tech giants like Google, Apple, Microsoftand Facebook, who are all toying… Read More »
What a week for spinoffs. Truly historic. Beginning on Monday with TEGNA (TGNA)/Gannett (GCI), the ‘Summer of Spin’ crescendoed yesterday with the completion of six more spins: DuPont (DD) spun off its performance chemicals unit (including Teflon) into Chemours (CC). The new company told investors it plans on paying out a stable dividend, which is somewhat unusual for such… Read More »
Baxalta(BXLT) completed its spinoff from Baxter International(BAX) yesterday. Or, as Baxalta would have it “Baxalta Launches as a Global Biopharmaceutical Leader Dedicated to Patients with Orphan Diseases and Underserved Conditions.” Baxalta is no slouch, what with “New products and indications planned to contribute $2.5 billion in sales by 2020, building on base of $6 billion in annual revenue.”… Read More »
The ‘Summer of Spin’ rolls on and yesterday witnessed the completion of three more spin offs: Masco (MAS) separated its installations and services into TopBuild (BLD) TriMas (TRS) spun off its former Cequent units as Horizon Global (HZN) Babcock & Wilcox (BWC) changed its name to BWX Technologies (BWXT) and spun off its power generation unit as Babcock &… Read More »
Graham Holdings (GHC) announced this morning that it had completed the spinoff of Cable ONE(CABO). As we previously reported, Graham shareholders received one share of Cable ONE for each share of Graham Holdings held. Interestingly, Graham Holdings CEO Donald Graham, reported that his mother and predecessor(and Buffett confidante), Katherine Graham viewed Cable ONE as her ‘best acquisition ever’.… Read More »
The unprecedented number of spins this week has kept the folks at S&P working overtime making changes to their indexes. Last week, AOL(AOL), a spinoff of Time Warner(TWX) was acquired by Verizon(VZ), a conglomeration of several spinoffs of the original AT&T(T). As a result, Casey’s General Stores(CASY) will move from the S&P SmallCap 600 to take its spot in… Read More »
Energizer Holdings(ENR) will be completing its spinoff of Energizer Holdings tomorrow, July 1, 2015, and renaming itself Edgewell Personal Care(EPC). Shareholders as of June 12 will receive one share of New Energizer for each share held. An explanation for the Edgewell name and its power, strength and beauty can be found here. Though Edgewell management is bullish on… Read More »
The ‘Summer Of Spin’ kicked off yesterday with Gannett transforming itself into the bizarrely titled TEGNA (TGNA). The ‘New Gannett’ (GCI), containing the publishing assets, was spun off to shareholders who should have received 1 share of new Gannett for every 2 shares of the old Gannett owned. Prior to the spin, the companies revealed separate buyback and dividend plans… Read More »
Calling all spinoff lovers – it’s time to get your hard hats on because the end of this month is going to be crazy. Just call it the ‘Summer of Spin’. In the somewhat improbable five plus years we have been running this site (and I am willing to bet over the course of history), there has never… Read More »
The Summer Of Spinoffs continues on July 1 with NiSource’s(NI) spinoff of the Columbia Pipeline Group(CPGX). NiSource shareholders as of June 19 will receive one CPGX share on July 1 for every NiSource share held. Columbia’s new board has already approved ambitious expansion plans. The company plans to grow EBITDA by 20% annually and dividend by 15% annually… Read More »
Graham Holdings Company(GHC) was, not long ago, The Washington Post Company. But after the sale of The Washington Post to Jeff Bezos in 2013, the name needed to change. The Washington Post was neither the first nor the last asset bought or sold as Donald Graham radically transforms the company he inherited from his mother Katherine. Previously, Newsweek… Read More »
For the past month, Yahoo (YHOO) has been awash with uncertainty over saber rattling by the IRS that calls the tax-free nature of the spinoff of its Alibaba(BABA) stake into question. Last week, Marissa Mayer downplayed concerns. This week, Yahoo General Counsel Ron Bell tried to do the same. Yahoo! Inc. is working with tax officials to complete… Read More »
Late last year, management at Babcock & Wilcox (BWC) was considering whether or not a breakup of its businesses made sense. Given the company name, it’s no surprise the company opted to produce some progeny and shortly thereafter it announced that it would spin off its power generation business. The new company will be named Babcock & Wilcox… Read More »