A corporate control change like Pepsi's divestiture of its restaurant holdings is called a(n)

Question

Quizplus · Accepted Answer

A spin-off is a corporate control change in which a company separates a portion of its business into a new, independent company. In Pepsi's case, they spun off their restaurant holdings into a new company called Yum! Brands. A bust-up involves breaking up a company into smaller pieces to unlock value, while an equity carve out involves selling a portion of a subsidiary as an independent public company. A split-up is similar to a bust-up, but typically involves a more formal process of dividing a company into separate entities.

A Corporate Control Change Like Pepsi's Divestiture of Its Restaurant