Carve-out, spin-off, split-off

CFA Level II
#1

I never really grasp the difference. Can anyone help? Thank you!

#2

Carve-OUT - OUTsiders can come in through IPO SPIN-Off - You SPIN the ownership amongst existing shareholders SPLIT-off - You SPLIT the current owners, so they have to trade something for something I don’t know if this can help you, but just my way of remembering … sorry if you found it to be crap … lol

#3

Great idea to remember! Thanks TDK.

#4

thanks. also carve-outs generate CASH. C-C