NEW YORK, April 1, 2015 /PRNewswire/ -- Spinoffs are the hidden-value that everyone wants to get hold of, right? The real fact is that 40% of newly listed names are either flat or produce a negative return for the first year. So what's all the fuss about? With over 100 due in the next year, the truth lies within looking beyond the fallacy of the event and analysing the numbers.

In their recent 15 year study, renowned break-up advisors The Edge Consulting Group and Deloitte reveal that value creation can be broken down into geography, market cap, sector, performance and importantly 'timing' of a breakup situation. The problem with many investors today is they feel the gold can be found in identifying a trend and jumping on the back of it without doing any real work.

The global spinoff study also indicates 3 in 10 Spinoffs are acquired at or around two years post Spinoff. The Edge has recently highlighted 5 'Spinoffs Names Ripe for a Takeover' using qualitative and quantitative analysis to present to their institutional clients.

With the environment for M&A increasing as companies become more cash rich and interest rates remain low, Jim Osman, CEO from The Edge comments, "We are on the verge on an M&A boom in the macro cycle and niche businesses such as Spinoffs are prime targets. We aim to provide our clients with as many thought provoking ideas as possible to enable them to make superior returns over and above the market's performance".

If you missed benefiting from the Kraft & Heinz merger last week, The Edge's next top selections from the last two years of analysis which include three US names from the consumer sectors, one US large cap company from the industrial sector and one European mid-cap name servicing Apple in the specialty chemicals and materials sector.

The Edge is an independent research firm concentrated on partnering with clients and aiding their research needs in the areas of international corporate breakups and bottom-up fundamental special situations with catalysts; such as activism, mergers, discounted rights issues and takeovers, and are regulated by the Financial Conduct Authority.

If interested in seeing their research or learning more about the cost of subscribing; simply enquire at www.edgecgroup.com/#contact.

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SOURCE The Edge Consulting Group

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