Manitowoc Company Inc. MTW has filed a Form 10 Registration Statement with the U.S. Securities and Exchange Commission (SEC) pertaining to its previously announced plan to separate the Cranes and Foodservice businesses into two industry-leading, independent, public companies. This marks an important milestone in achieving this objective.
The initial Form 10 Registration Statement consists of salient information about the Foodservice business, such as, historical segment sales and profit. The Foodservice business has not yet finalized its post-Distribution capitalization structure. Pro-forma financial information reflecting the company's post-Distribution capitalization, among other matters, will be included in a subsequent amendment to the Form 10.
Approval of Manitowoc’s board of directors for the separation as well as the satisfaction of certain other customary conditions is pending. Manitowoc expects the tax-free spin-off of the Foodservice business to be completed in the first quarter of 2016.
According to Manitowoc, the separation will allow each company to focus on its unique growth profile, product categories, distribution systems, and strategic priorities. The separation will also enable each company to implement the right organizational structure, operating model, and financial targets. Manitowoc, however, noted that there can be no assurance that a separation will ultimately occur and of the definite timing in case it is successfully completed. These types of transactions depend on various other factors, such as, the macroeconomic environment, credit markets and equity markets.
