30% of TSR Spinoffs Perfect for Takeover (SABMiller Plc, Google Inc., ConAgra Foods, Perrigo Co., Hillshire Brands) - The Spinoff Report® / Deloitte.

NEW YORK & LONDON--()--In one week, x2 previous Spinoffs have been bid for, namely leading US beverage and communication firms, BEAM and Time Warner Cable. If you’ve ever held or ‘wished’ you had owned a stock that’s been approached or taken-over, where the stock’s then rallied a typical +20-50%, giving an instant return to investors; you’ll certainly remember that feeling of either regret that you missed it, or the brilliance that you were advised beforehand.

A recent study by the world’s leading corporate break-up valuation specialists, TSR (The Spinoff Report®) and the advisory firm Deloitte reveals that 30% of Spinoffs are taken-over within two years.

So can you predict a takeover? “Each year, less than 1% of global listed companies transact a corporate break-up [Spinoff]. Our research experience gives us the ability to predict and advise which companies are most likely to be taken-over or attract M&A once demerged,” comments Jim Osman, CEO of TSR.

Osman’s view is highly respected with buy side firms, as Osman himself is from money management. He was previously at notable hedge funds in Chicago and London. This relates to the analyst team his company has built, whereby over the last 6 years, TSR’s pre-event recommendations to clients on every one of the 200+ Spinoffs since have generated an impressive +64% return on average.

With the most active year ever, here are a few examples of successful Spinoffs TSR have advised on ahead of each takeover:

  • Elan Corp acquired on Dec 18, 2013 by Dublin based Perrigo Co. Plc (PRGO) for $6.2bn.
  • DE Master Blenders, a Spinoff from the then $10bn Sara Lee (renamed Hillshire Brands, HSH), acquired on Apr 12, 2013 by a private German holding company, Joh A Benckiser SE for $9.8bn (EUR 7.3bn).
  • Ralcorp Holdings acquired on Jan 30, 2013 by ConAgra Foods, Inc. (CAG) for $6.6bn.
  • Foster's Group acquired on Dec 21, 2011 by SABMiller Plc (SAB LN) for $10.2bn (AUD 9.9bn).
  • Motorola Mobility Holdings acquired by Google Inc. (GOOG) on May 22, 2012 (announced on Aug 15, 2011) for $12.5bn.

For any questions click here or to see any of TSR’s latest valuation research, go to: www.spinoffreport.com/contact-us or call: +1 (212) 714 7046.

Contacts

The Spinoff Report®
Ryan Mendy, COO, +1 212-714-7046
rm@spinoffreport.com

Release Summary

30% of TSR Spinoffs Perfect for Takeover (SABMiller Plc, Google Inc., ConAgra Foods, Perrigo Co., Hillshire Brands) The Spinoff Report® / Deloitte.

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Contacts

The Spinoff Report®
Ryan Mendy, COO, +1 212-714-7046
rm@spinoffreport.com