XPO Logistics (NASDAQ:XPO) news for Thursday concerning talk about a possible spin-off has XPO stock soaring on Thursday.
An XPO Logistics news release reveals that the company is considering strategic alternatives. Among those options is the possibility that it may spin-off some of its business units. However, it makes sure to warn that this doesn’t mean anything will happen.
XPO Logistics notes that it is bringing in help as it goes over its strategic options. This includes assistance from Goldman Sachs and J.P. Morgan Securities for financial advice. It will be getting legal advice during the strategic review from Wachtell, Lipton, Rosen & Katz.
Bradley Jacobs, the Chairman and CEO of XPO Logistics, has this to say about the XPO stock spin-off news.
“XPO is the 7th best-performing stock of the last decade on the Fortune 500, based on Bloomberg market data. The share price has increased more than ten-fold since our investment in 2011. Still, we continue to trade at well below the sum of our parts and at a significant discount to our pure-play peers. That’s why we believe the best way to continue to maximize shareholder value is to explore our options, while remaining intensely committed to the satisfaction of our customers and employees.”
XPO Logistics points out that it currently doesn’t have any timetable for when it will complete its strategic review.
XPO stock closed out the day Thursday up 15.09%.
As of this writing, William White did not hold a position in any of the aforementioned securities.
