spin-off

spin·off

or spin-off S0643500 (spĭn′ôf′, -ŏf′)n.1. a. A divestiture by a corporation of a division or subsidiary by issuing to stockholders shares in a new company set up to continue the operations of the division or subsidiary.b. The new company formed by such a divestiture.2. Something, such as a product, that is derived from something larger and more or less unrelated; a byproduct.3. Something derived from an earlier work, such as a television show starring a character who had a popular minor role in another show.

spin′-off`

or spin′off`,

n. 1. a by-product of something preexisting, as a program of research or technological development. 2. a media product, as a television series, based on an idea or character in a preexisting product. 3. the transfer to corporate stockholders of the stock of a subsidiary or newly acquired company. [1945–50]

Thesaurus

Noun

spin-off - a product made during the manufacture of something elsebyproduct, by-productproduct, production - an artifact that has been created by someone or some process; "they improve their product every year"; "they export most of their agricultural production"

Translations

Spin-off

A company can create an independent company from an existing part of the company by selling or distributing new shares in the so-called spin-off.

Spin-Off

A situation in which a company offers stock in one of its wholly-owned subsidiaries or dependent divisions such that subsidiary or division becomes an independent company. The parent company may or may not maintain a portion of ownership in the newly spun-off company. A company may conduct a spin-off for any number of reasons. For example, it may wish to divest itself of one industry so it can expand into another. It may also simply wish to profit from the sale of the subsidiary. A spin off should not be confused with a split off.

Spin-off.

In a spin-off, a company sets up one of its existing subsidiaries or divisions as a separate company.

Shareholders of the parent company receive stock in the new company based on an evaluation established for the new entity. In addition, they continue to hold stock in the parent company.

The motives for spin-offs vary. A company may want to refocus its core businesses, shedding those that it sees as unrelated. Or it may want to set up a company to capitalize on investor interest.

In other cases, a corporation may face regulatory hurdles in expanding its business and spin off a unit to be in compliance. Sometimes, a group of employees will assume control of the new entity through a buyout, an employee stock ownership plan (ESOP), or as the result of negotiation.

spin-off

spin·off

spin′-off`

or spin′off`,

Spin-Off

Spin-Off

Spin-off

Spin-off

Spin-Off

Spin-off.

spin-off

Synonyms for spin-off

noun a product made during the manufacture of something else

Synonyms

Related Words