The Gap is stitching together an M&A opportunity. jennifersaba
Gap said on Feb. 28 it plans to create two independent publicly traded companies through a tax-free spinoff. The companies will be Old Navy and a yet-to-be-named company dubbed NewCo that will consist of Gap, Banana Republic, Intermix, Athleta and Hill City.
Gap shareholders are expected to receive a pro-rata stock distribution and as a result own shares in both NewCo and Old Navy in equal proportion. The transaction is targeted to be completed in 2020. “It’s clear that Old Navy’s business model and customers have increasingly diverged from our specialty brands over time, and each company now requires a different strategy to thrive moving forward,” said Robert Fisher, chairman of Gap.
NewCo will have approximately $9 billion in annual revenue while Old Navy will have approximately $8 billion. The company also reported fourth-quarter comparable sales were down 1 percent and that it plans to close 230 Gap specialty stores.
México Últimas Noticias, México Titulares
Similar News:También puedes leer noticias similares a ésta que hemos recopilado de otras fuentes de noticias.
Gap to split itself, restructure Gap brand; stock jumps
Leer más »
Old Navy splits off from GapGap Inc announced plans Thursday to create two independent publicly traded companies.
Leer más »
Gap is soaring after announcing it's spinning off Old NavyGap shares surged late Thursday after the retailer announced it was spinning off its Old Navy unit.
Leer más »
The Gap And Old Navy Are Consciously UncouplingOld Navy And The Gap Are Separating
Leer más »
Old Navy and Gap are splitting into two companies. We visited both stores, and realized why one company is dominating the other.Gap is splitting off Old Navy into its own company. In late 2018 we shopped at both stores and saw why Old Navy has become so successful.
Leer más »
Gap will split into two publicly traded companies, with Old Navy as a stand-alone; stock surges
Leer más »
Gap to Split Into Two Publicly Traded CompaniesGap announced plans Thursday to split itself into two independent publicly traded companies—one unnamed company consisting of the iconic Gap brand, and Old Navy.
Leer más »
Stocks making the biggest moves after hours: Gap, Tesla, Marriott and moreSee which stocks are posting big moves after the bell on February 28.
Leer más »
Gap will shutter 230 stores as sales plungeGap announced plans Thursday to shutter 230 Gap stores over the next two years as sales plunge at its namesake brand.
Leer más »