M&A gets a lot of attention, but many have questioned whether or not it delivers the expected returns to shareholders. Often this is a result of paying too much. While the data on spinoffs is pretty favorable (we might be a bit biased here), the transaction can have some consequences. For example, if the...
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Post Cereals(POST) began trading today on a when issued basis. Currently, it’s settled in around $26.50 with a range of $22.75 to $27.50. But what is it actually worth? One share of Post stock will be distributed on February 3 to for every 2 shares owned of Ralcorp(RAH) as of January 30, so those...
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‘Everyone else is doing it’. Unfortunately, that line never worked for me as a child , but apparently it is the new motto for integrated energy companies. Many players in the space...
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Beam, Inc.(BEAM), the former Fortune Brands after its spinoff of Fortune Brands Home & Security(FBHS) in October, has announced that it will raise its dividend 8%, from an annual rate of $0.76 to $0.82. The company also declared the next quarterly dividend of 20.5 cents per share, which will be payable on March 1,...
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We are entering the final months of the Sara Lee(SLE) conglomerate. The empire, which once included Coach(COH) handbags and Hanes(HBI) underwear, is aiming spin off its Coffee & Tea business(CoffeeCo) in April or May, though no final date has been set. As the date finally approaches(this was first announced a year ago), the company...
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