Ashland Moves to Reorganize as Valvoline Files for IPO
May 31 2016 - 6:50PM
Dow Jones News
Ashland Inc. on Tuesday filed to reorganize as a public holding
company and separate its Valvoline business, key steps in Ashland's
previously announced plans to split in two by year's end.
The proposed reorganization, subject to shareholders' approval,
would move the legal headquarters of the holding company, Ashland
Global Holdings Inc., to Delaware. Ashland is currently based in
Kentucky.
Meanwhile, Valvoline Inc., which would include the engine and
automotive maintenance business based on the Valvoline lubricant
brand, on Tuesday filed initial documents for an initial public
offering. The resulting company will list on the New York Stock
Exchange under the ticker symbol VVV.
The preliminary filing indicates Valvoline would raise up to
$100 million, a figure used to calculate filing fees but that is
often changed. Other details weren't provided, such as the amount
of shares to be sold.
Ashland, which would retain control of Valvoline following the
planned spinoff, said Valvoline would sell up to 20% of its stock,
with the rest of the stock to be distributed to Ashland
shareholders in 2017.
For the year ended Sept. 30, 2015, Valvoline reported profit of
$196 million on $2 billion in sales, compared with $173 million in
profit and $2.04 billion in sales a year earlier.
Valvoline, the first trademarked motor oil in the U.S., traces
its roots to 1866.
Write to Maria Armental at maria.armental@wsj.com
(END) Dow Jones Newswires
May 31, 2016 18:35 ET (22:35 GMT)
Copyright (c) 2016 Dow Jones & Company, Inc.
Ashland (NYSE:ASH)
Historical Stock Chart
From Mar 2024 to Apr 2024
Ashland (NYSE:ASH)
Historical Stock Chart
From Apr 2023 to Apr 2024