Johnson Controls (JCI) completed its inversion deal/merger with Tyco in early September creating a powerhouse in building solutions for efficiency and fire and safety. With the merger complete, the company can now complete the spinoff of its non-core automotive and interiors business, Adient. The spin was announced way back in 2015, but rumors of a spin existed even earlier.… Read More »
HCP ‘s (HCP) board of directors approved the spinoff of Quality Care Properties, a REIT whose portfolio is comprised of skilled nursing and assisted living facilities. At the time of the spin announcement, Quality Care Properties, which was previously known internally as HCR ManorCare, was expected to own over 320 properties with estimated annual rent of about $485… Read More »
There are a number of spinoffs scheduled to be completed at the end of this month (October) or in early November and naturally, there are a few scheduled changes to the S&P indices as a result. Here is a summary of the changes which will occur over the next week or so: HCP Inc (HCP) is spinning off Quality… Read More »
It’s no surprise that many recently announced spinoffs have been abandoned in favor of outright sales. Possible reasons include the fact that numerous industries are suffering from a lack of organic growth or the fact that these bite size carve out pieces are more easily acquired. Oh yeah, it also helps when acquirers toss around rich valuations. The… Read More »
You may have noticed a lull in our regular programming and for that we apologize. Over the past few weeks, a number of spinoff transactions have closed leading to quite a few shifts within the S&P indices. Here is a summary of the various transactions: Honeywell’s (HON) AdvanSix (ASIX) spinoff was distributed on October 1st and the new company… Read More »
Just months after being spun off from Baxter International(BAX), Baxalta found itself the target of an intense pursuit by Shire Pharmaceuticals(SHPG). Baxalta resisted, but, ultimately agreed to a deal which closed earlier this year. Barron’s sees good things ahead for the combined company. In an article this weekend, the venerable publication points out that merely by achieving a… Read More »