Frank Aquila Focuses on Key Issues When Considering a Spin-off in Practical Law The Journal Quarterly ColumnJune 1, 2015
The June issue of Practical Law The Journal published Mr. Aquila’s column titled “Key Issues When Considering a Spin-off.” The column, which takes the form of a sample memorandum to a board of directors, discusses key legal issues when considering whether to undertake a proposed spin-off of a subsidiary. While a spin-off can prove to be valuable to shareholders, the process requires planning by the board and a thorough assessment of the burdens and risks of the transaction. Mr. Aquila discusses the advantages to spin-offs, including the alleviation of market confusion and attraction to new investors, as well as what the tax and corporate governance considerations of a spin-off may be, possible alternatives to a spin-off and how the process works, among other topics. Ms. Boehmke provided invaluable assistance in the preparation of this column. Mr. Aquila's regular column in Practical Law The Journal focuses on shareholder activism, corporate governance matters and other issues of importance to corporate directors and the lawyers who advise them.