A Guide to Structuring and Executing Spin-off Transactions

An increasing proportion of M&A transactions take the form of spin-offs. The process of undergoing a spin-off is complex and involves a myriad of financial, capital markets, business, legal and other considerations.

This program provides an in-depth perspective on: the factors that drive spin-offs; the advantages and disadvantages of spin-offs; unique spin-off structures; utilizing spin-offs to raise capital at the parent level or reduce parent debt; and general corporate and legal considerations in planning and executing a spin-off.

Learning Objectives:

I.     Recognize the differences between a spin-off versus third-party sales and other separation transactions

II.    Understand the advantages and disadvantages of spin-offs

III.   Distinguish different spin-off structures

IV.   Grasp how to raise capital or reduce indebtedness using spin-offs

V.    Identify general corporate issues related to spin-offs

VI.   Recognize unique transaction agreements and legal issues related to spin-offs