The Art of the Spin-Off
Spin-Offs Offer Opportunities for High-Value Growth
by Jim Jeffries, Chairman, M&A Leadership Council
In the recent past, more corporations are managing their businesses as a portfolio with many moving parts rather than attempting to grow into static behemoth brands. Therefore spin-offs have become a type of divestiture that is just as strategic for high value growth as acquisitions. A spin-off is a form of divestiture that typically can generate new value by demerging current business units back to shareholders in order to operate them more independently.