Fundmanagerthrwawy Posted September 9, 2023 Share Posted September 9, 2023 I’m looking for a resource that shows the most recent Spin-offs, mostly concerned for US but wouldn’t mind seeing a global one. If anyone knows of such a resource or something similar it would be greatly appreciated. cheers Link to comment Share on other sites More sharing options...
Spekulatius Posted September 9, 2023 Share Posted September 9, 2023 https://stockspinoffinvesting.com/upcoming/ Rich Howes Website above. You need to pay to get all the content though. Link to comment Share on other sites More sharing options...
no_free_lunch Posted September 9, 2023 Share Posted September 9, 2023 I have seen some studies that the superiority of spinoffs, in general, is no more. Perhaps over exploited by CEOs and priced in by the market. However, perhaps in Canada and other smaller markets there might be alpha here, I have seen it. Link to comment Share on other sites More sharing options...
Value_Added Posted September 9, 2023 Share Posted September 9, 2023 (edited) Doing a 10-12B search on the SEC’s website will return upcoming spin-offs. I have several pre-filtered SEC searches saved as bookmarks that I can open routinely and find potential special situations ideas . I’ll post them below. Spin-offs: https://www.sec.gov/edgar/search/#/category=custom&forms=10-12B Tender Offers: https://www.sec.gov/edgar/search/#/category=custom&forms=SC%20TO-C https://www.sec.gov/edgar/search/#/category=custom&forms=SC%20TO-I https://www.sec.gov/edgar/search/#/category=custom&forms=SC%2014D9 Going Private: https://www.sec.gov/edgar/search/#/category=custom&forms=SC%2013E3 Large Ownership Stakes: https://www.sec.gov/edgar/search/#/category=custom&forms=SC%2013D Edited September 9, 2023 by Value_Added Link to comment Share on other sites More sharing options...
Spekulatius Posted September 9, 2023 Share Posted September 9, 2023 2 hours ago, no_free_lunch said: I have seen some studies that the superiority of spinoffs, in general, is no more. Perhaps over exploited by CEOs and priced in by the market. However, perhaps in Canada and other smaller markets there might be alpha here, I have seen it. I think that’s correct. Counting from the spin date, spin-offs have underperformed the market as a group in the last few years Totally different situation from 20 years ago when Greenblatt wrote about the opportunity. I think management have learned to spin off turds with too much debt. That does not mean that opportunities can’t be found. Link to comment Share on other sites More sharing options...
Fundmanagerthrwawy Posted September 9, 2023 Author Share Posted September 9, 2023 2 hours ago, no_free_lunch said: I have seen some studies that the superiority of spinoffs, in general, is no more. Perhaps over exploited by CEOs and priced in by the market. However, perhaps in Canada and other smaller markets there might be alpha here, I have seen it. A pen study from 1996 suggests that I spin-offs produce returns on average of 10% more than the market average in the 3 years following the spin-off itself. I, myself, have not received these level of return but of gotten close a number of times. Link to comment Share on other sites More sharing options...
Fundmanagerthrwawy Posted September 9, 2023 Author Share Posted September 9, 2023 43 minutes ago, Spekulatius said: I think that’s correct. Counting from the spin date, spin-offs have underperformed the market as a group in the last few years Totally different situation from 20 years ago when Greenblatt wrote about the opportunity. I think management have learned to spin off turds with too much debt. That does not mean that opportunities can’t be found. I remember reading that and thinking it was genius. Yet to achieve those level of returns. Link to comment Share on other sites More sharing options...
Fundmanagerthrwawy Posted September 9, 2023 Author Share Posted September 9, 2023 2 hours ago, Value_Added said: Doing a 10-12B search on the SEC’s website will return upcoming spin-offs. I have several pre-filtered SEC searches saved as bookmarks that I can open routinely and find potential special situations ideas . I’ll post them below. Spin-offs: https://www.sec.gov/edgar/search/#/category=custom&forms=10-12B Tender Offers: https://www.sec.gov/edgar/search/#/category=custom&forms=SC%20TO-C https://www.sec.gov/edgar/search/#/category=custom&forms=SC%20TO-I https://www.sec.gov/edgar/search/#/category=custom&forms=SC%2014D9 Going Private: https://www.sec.gov/edgar/search/#/category=custom&forms=SC%2013E3 Large Ownership Stakes: https://www.sec.gov/edgar/search/#/category=custom&forms=SC%2013D Much appreciated. Cheers Link to comment Share on other sites More sharing options...
Saluki Posted September 9, 2023 Share Posted September 9, 2023 1 hour ago, Fundmanagerthrwawy said: I remember reading that and thinking it was genius. Yet to achieve those level of returns. You can still find some gems, but it's more a scavenger hunt now. Some clues that I have found to be useful are 1) how much do insiders own in the spinoff entity, and 2) if a company is splitting, where is the CEO going?. An example of number 1, In Vitesse, besides the stock based compensation, the insiders bought a lot of stock with their own money. http://openinsider.com/search?q=vts An example of number 2 is Vista Outdoor. It's splitting into 2 companies of roughly the same size. I thought the RemainCo looked more interesting, but the CEO has announced that he is going to the Spinco, and he's leaving the RemainCo with a lot of the debt, which means I will have to take a closer look. Another example of number 2 is Bausch Health, formerly Valeant. If I recall the CEO left when the crown jewel (Bausch and Lomb) was spun off and left the debt laden RemainCo to fend for itself. The debt holders were threatening to sue the last time I checked. Link to comment Share on other sites More sharing options...
Fundmanagerthrwawy Posted September 9, 2023 Author Share Posted September 9, 2023 4 hours ago, Saluki said: You can still find some gems, but it's more a scavenger hunt now. Some clues that I have found to be useful are 1) how much do insiders own in the spinoff entity, and 2) if a company is splitting, where is the CEO going?. An example of number 1, In Vitesse, besides the stock based compensation, the insiders bought a lot of stock with their own money. http://openinsider.com/search?q=vts An example of number 2 is Vista Outdoor. It's splitting into 2 companies of roughly the same size. I thought the RemainCo looked more interesting, but the CEO has announced that he is going to the Spinco, and he's leaving the RemainCo with a lot of the debt, which means I will have to take a closer look. Another example of number 2 is Bausch Health, formerly Valeant. If I recall the CEO left when the crown jewel (Bausch and Lomb) was spun off and left the debt laden RemainCo to fend for itself. The debt holders were threatening to sue the last time I checked. Great insights. Thanks a lot much appreciated! Link to comment Share on other sites More sharing options...
sleepydragon Posted September 9, 2023 Share Posted September 9, 2023 4 hours ago, Saluki said: You can still find some gems, but it's more a scavenger hunt now. Some clues that I have found to be useful are 1) how much do insiders own in the spinoff entity, and 2) if a company is splitting, where is the CEO going?. An example of number 1, In Vitesse, besides the stock based compensation, the insiders bought a lot of stock with their own money. http://openinsider.com/search?q=vts An example of number 2 is Vista Outdoor. It's splitting into 2 companies of roughly the same size. I thought the RemainCo looked more interesting, but the CEO has announced that he is going to the Spinco, and he's leaving the RemainCo with a lot of the debt, which means I will have to take a closer look. Another example of number 2 is Bausch Health, formerly Valeant. If I recall the CEO left when the crown jewel (Bausch and Lomb) was spun off and left the debt laden RemainCo to fend for itself. The debt holders were threatening to sue the last time I checked. 10 minutes ago, Fundmanagerthrwawy said: Great insights. Thanks a lot much appreciated! I still painfully remembered with FCAU spinned off RACE.. I sold RACE and bought more FCAU. Stupid Stupid Stupid. Link to comment Share on other sites More sharing options...
ValueArb Posted September 10, 2023 Share Posted September 10, 2023 On 9/9/2023 at 8:11 AM, Value_Added said: Doing a 10-12B search on the SEC’s website will return upcoming spin-offs. I have several pre-filtered SEC searches saved as bookmarks that I can open routinely and find potential special situations ideas . I’ll post them below. Spin-offs: https://www.sec.gov/edgar/search/#/category=custom&forms=10-12B Tender Offers: https://www.sec.gov/edgar/search/#/category=custom&forms=SC%20TO-C https://www.sec.gov/edgar/search/#/category=custom&forms=SC%20TO-I https://www.sec.gov/edgar/search/#/category=custom&forms=SC%2014D9 Going Private: https://www.sec.gov/edgar/search/#/category=custom&forms=SC%2013E3 Large Ownership Stakes: https://www.sec.gov/edgar/search/#/category=custom&forms=SC%2013D Thank you, it is very gracious of you to share your work. Link to comment Share on other sites More sharing options...
hasilp89 Posted September 13, 2023 Share Posted September 13, 2023 @Value_Added thanks for sharing that, very kind of you. I typically search the words with the document selected as 8-k and for the last week. but this is an easy way to one click it. Link to comment Share on other sites More sharing options...
Spekulatius Posted September 22, 2023 Share Posted September 22, 2023 Here is a study from the Focusedcompounding fellows: https://focusedcompounding.com/wp-content/uploads/2023/09/2022-spin-off-transaction-study-.pdf This confirms the underperformance of the Spinco population that I have seen in another study recently: What I did not know is that remainco's also underperform: Link to comment Share on other sites More sharing options...
Recommended Posts
Create an account or sign in to comment
You need to be a member in order to leave a comment
Create an account
Sign up for a new account in our community. It's easy!
Register a new accountSign in
Already have an account? Sign in here.
Sign In Now