B/E Aerospace (BEAV) appears to be making significant progress on the upcoming spinoff of its consumables management segment, KLX inc. The company recently filed an initial Form 10 and while I haven’t had a chance to read through the entire document, it seems like the ‘Energy Technical Services’ segment is going to be a bigger focus for the… Read More »
While catching up on some older items in my news feed, I came across a couple of pieces from Tsachy Mishal’s Capital Observer blog about 2013 Leucadia (LUK) spinoff Crimson Wine Group (CWGL). Mr. Mishal is a bullish Crimson shareholder and actually attended the company’s Annual Meeting in Napa. Boy, it must feel great to expense that trip… Read More »
ADP (ADP) will spin off its dealer services business, CDK Global, on September 30th to shareholders as of September 24th. The new company will trade on the NASDAQ under the ticker ‘CDK’ and ADP shareholders will receive 1 share of ‘CDK’ for every 3 ADP shares owned. The dealer services business is ‘the largest global provider…of integrated information technology… Read More »
The Financial Times reports that Anglo American(AAUKY) has significant assets it would like to divest, CEO Mark Cutifani feels the company can do better by selling off assets piecemeal than by following in the path of BHP Billiton(BHP) and spinning them off to shareholders. But Mr Cutifani said the “portfolio work” at Anglo would entail a number of… Read More »
One of the big M&A stories of the summer was Rupert Murdoch-led 21st Century Fox’s (FOXA) unsolicited ~$80b bid for Time Warner (TWX). The deal would have created a media behemoth, but after facing resistance from Time Warner and shareholders, Fox yielded (for now) and announced a big buyback instead. A couple important items emerged from all of the… Read More »
A few months ago we highlighted a bid by private equity giant KKR for Foster’s spinoff Treasury Wine Estates (TWE.AX). The A$4.70 per share bid represented a nice premium (at the time) for the struggling spirits company which remains in the middle of a turnaround plan by new CEO Michael Clarke. The company wasn’t too enamored with the offer… Read More »
Dotcom darling (and subsequent flameout) JDS Uniphase (JDSU) announced plans to spinoff its Communications and Commercial Optical Products (‘CCOP’) segment into a standalone company. The move will create two companies: An optical components and commercial lasers company (“CCOP”) consisting of JDSU’s current Communications and Commercial Optical Products segment. The CCOP company, with its long-standing reputation for optical innovation… Read More »
Exelis’ (XLS) board of directors recently approved the spinoff of its mission systems business, Vectrus and rumor is that Exelis’s parent company, ITT (ITT), is excited about becoming a grandparent despite the rather creative name choice. The spinoff will take place on September 27th to shareholders as of September 18th and the new company will trade on the NYSE under the ticker… Read More »
Immediately after closing the sale of Red Lobster to Golden Gate Capital, Darden (DRI) began begging for forgiveness from its spurned activist shareholders. CEO Clarence Otis got sacrificed at the altar resigned and the company announced that it would let Starboard nominate three members to its board who would run unopposed. Starboard was not satisfied with this offer though and… Read More »
Supposedly addicts make great repeat customers, but unfortunately for Reckitt Benckiser (OTC:RBGLY), they (or at least insurers and pharmacies) are quite price sensitive. That seems to be one of the underlying reasons behind the consumer brand giant’s recent announcement of plans to spin off its pharmaceuticals business. The majority of the units’ $1.3b in revenues come from sales of… Read More »
With the $2.1b sale of Red Lobster to private equity firm Golden Gate Capital all wrapped up, the battle for Darden (DRI) has officially entered the next phase. For a quick and abridged refresher on the situation, the ailing restaurant company was recently assailed by two activist firms pushing for numerous changes including a spinoff of its slower growing restaurants, Red Lobster… Read More »
In this issue of the Index Change roundup, Noble Corporation’s (NE) upcoming standard spec rig spinoff, Paragon Offshore, will be added to the S&P Smallcap 600. Noble will remain in the big boy S&P 500 index so there is the possibility of forced selling in this case. As a result of the transaction, Paragon will boot #600 ranked… Read More »
Tribune (TRBAA) is all set to spin off its publishing assets, Tribune Publishing, after the company’s board of director’s formally approved the move a few weeks ago. The spinoff is set to take place on August 4th to shareholders as of July 28th. The new company will trade on the NYSE under the ticker ‘TPUB’ and both Tribune shareholders and warrant… Read More »
Less than a week after the completion of an exchange offer that fully separated it from former parent CBS (CBS), and its subsequent conversion to REIT status, CBS Outdoor (CBSO) has announced a major acquisition which will grow the company’s footprint significantly. The company will be purchasing approximately 1100 billboards from Van Wagner Communications, LLC for $690 million in… Read More »
Titans of the hedge fund industry, including John Paulson, Carl Icahn, Nelson Peltz (and many more), gathered at the Pierre Hotel this past Wednesday for CNBC’s Delivering Alpha conference. There was a lot of Fed talk (Stanley Druckenmiller is not a fan), musings on the economy and of course, the proverbial ‘talking up the book’. It took a… Read More »