Aecom (nyse:acm) cancelled the spin-off of its management services business.
The board of aecom (nyse:acm) announced the spin-off of its management services business on june 17, 2019. the transaction is to be effected through a pro-rata distribution to aecom shareholders of common stock of a newly formed entity holding management services segment as a standalone government services business. the management services business will be spun-off into a publicly traded, standalone government services company. the management services segment generates sales of $3.7 billion. john vollmer, group president of the management services segment, and the existing management team are expected to continue to lead the standalone government services company. randy wotring, aecom’s chief operating officer, is expected to serve as chairman of the board of directors of the standalone government services business. the transaction is subject to final approval by aecom's board of directors, receipt of a tax opinion from counsel and the filing and effectiveness of a registration statement. the spin-off will not be subject to a shareholder vote. the board of directors of aecom has unanimously approved the spin-off. the transaction is expected to be completed in the second half of fiscal 2020 that ends in september 2020. edward d. herlihy, jacob a. kling, jeannemarie o'brien, gregory e. pessin and joshua m. holmes of wachtell, lipton, rosen & katz acted as legal advisors to aecom.
aecom (nyse:acm) cancelled the spin-off of its management services business on october 12, 2019. aecom entered into a definitive agreement for the sale of management services business to american securities llc and lindsay goldberg. the sale of the ms business at a premium valuation will unlock significant value sooner than anticipated through the planned spin-off and will create certainty for all stakeholders.
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