Summary
Honeywell International Inc. (HON) announced via an 8-K filing on September 7, 2016, the details of its spin-off of its wholly-owned subsidiary, AdvanSix Inc. This transaction will be executed as a pro rata dividend of AdvanSix common stock to Honeywell shareholders. The distribution is scheduled to occur at 11:59 p.m. New York City time on October 1, 2016. Shareholders of record as of September 16, 2016, will receive one share of AdvanSix common stock for every 25 shares of Honeywell common stock they hold. This strategic move is expected to allow both Honeywell and the newly independent AdvanSix to focus on their respective core businesses and capital allocation strategies. Investors should note the record date and distribution date as key dates for this corporate action, which effectively separates the performance and prospects of AdvanSix from Honeywell's ongoing operations.
Key Highlights
- 1Honeywell announced the spin-off of its subsidiary, AdvanSix Inc., through a pro rata dividend of AdvanSix common stock.
- 2The spin-off is expected to be completed on October 1, 2016.
- 3Honeywell shareholders of record on September 16, 2016, will receive one share of AdvanSix for every 25 shares of Honeywell held.
- 4This transaction separates AdvanSix from Honeywell's main business operations.
- 5The announcement provides clarity on the distribution mechanics and timeline for shareholders.