Of the many ways a corporation can divest its assets or shares to create value, asset sales, equity carve outs and spinoffs are some of the most common methods. In an asset sale, a business sells its assets in exchange for cash proceeds or other forms of consideration. An equity carve out is where a company separates out assets into a separate company (usually a subsidiary) and issues a minority interest in the subsidiary to the market through an IPO. A spinoff transaction is where assets are spun off into a new independent business and existing shareholders receive shares of … Continue Reading