Less than a month after being spun off from Automatic Data Processing (ADP), CDK Global (CDK) has already attracted the interest of an activist investor. Sachem Head Capital Management, a firm led by Bill Ackman protege Scott Ferguson, has amassed a 9.8% stake in the company and is ‘seeking talks’ with management. This must be some type of record.… Read More »
With spinoffs becoming even more popular, it’s worth remembering that these transactions affect lots of people and are actually quite complicated. We previously some highlighted cultural and morale issues that may arise during the process, but there are plenty more that we haven’t touched on. There is a reason the timeline from announcement to completion is typically 6-18… Read More »
Panicked Automatic Data Processing (ADP) shareholders need not worry about their stock appearing on many ‘Top Losers’ lists yesterday. Yes, the company declined a lot, but that was due to yesterday being the first day of trading following the spinoff of its dealer services business CDK Global (CDK). ADP shareholders should have received one share of CDK for every… Read More »
Automatic Data Processing (ADP) is poised to complete the spinoff of its dealer services business, CDK Global, on September 30th with ADP shareholders receiving 1 share of CDK for every 3 shares of ADP owned. ADP is currently an S&P 500 index constituent and will remain so following the distribution. CDK Global, which will trade under the ticker ‘CDK’,… 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 »