Equity carve out

(redirected from Carve Outs)

Equity carve out

Usually occurs when a company decides to IPO one of their subsidiaries or divisions. The company usually only offers a minority share to the equity market. Also known as carve out.

Equity Carve Out

The act or process of a company making an IPO on one of its subsidies without fully spinning off. During an equity carve-out, the parent company becomes majority shareholder and only offers a minority share to the market. This gives the subsidiary a degree of autonomy (such as its own board of directors) while still retaining access to resources at the parent company. Most of the time, an equity carve-out ultimately results in the parent company fully spinning off the subsidy. It is also called a partial spin off.
References in periodicals archive ?
The Presidents wealthy friends secretly work behind the scenes to install their lackeys, extract profitable carve outs in laws and regulations, and win special deals from the federal government.
Transactions Platinum Equity completed in 2014 included carve outs from Volvo, Telstra and Bemis.
There is also the possibility of having carve outs for individual countries to maximize gains for India.
The advantages of group carve outs include: (1) the provision of permanent post retirement insurance for the executive;
OSCPA staff continues to watch a number of provisions in the budget, including the removal of the consolidation of state boards and commissions (including the Accountancy Board of Ohio), eliminating potential carve outs from the Commercial Activity Tax (CAT), and ensuring the annual CAT filing date moves from Feb.
For example, during 2001-2004 there were only 29 carve outs.
Conemaugh Health is also using the data stored in Phynance to model the financial implications of carve outs, alternate fee schedules and modifier rules during future negotiations with payers.
In addition, 63% expected to achieve monetization through transactions like the sale of subsidiaries (63%) or carve outs (22%).
The Spinoff Report is an independent UK based research company focused on providing high quality factual based research on equity spin-offs and carve outs.
His deep experience in M&A, complex carve outs and building businesses will be invaluable to us as we look to scale this business.
Skilled Healthcare Group Inc (NYSE:SKH) announced on Monday the closure of a financing with MidCap Financial consisting of a USD62m non-recourse, subject to customary carve outs, mortgage-backed term loan and a USD5.
Since there are no carve outs to the exculpatory language in our New York City based real estate lending, the loans must have adequate debt service coverage now, and the expectation with reasonable assumptions, to meet demand if rates increase when the loan matures.