What happens to IBM stock with Kyndryl?

(“Kyndryl”) was recently spun off from International Business Machines Corporation (“IBM”), with IBM distributing 80.1% of its Kyndryl shares to IBM shareholders on November 3, 2021 (the “Distribution”).

What happens to IBM stock after spinoff?

Starting on November 4, 2021, Kyndryl will begin “regular way” trading on the New York Stock Exchange under the symbol “KD.” Each holder of IBM common stock will receive one share of Kyndryl common stock for every five shares of IBM common stock held on October 25, 2021, the record date for the distribution.

Is IBM splitting into 2 companies?

International Business Machines (IBM) is planning to split itself into two public companies as it focuses on areas like cloud computing and artificial intelligence.

How will IBM spinoff affect shareholders?

As previously announced, IBM (ticker: IBM) will distribute 80.1% of its Kyndryl shares to current IBM holders. Each IBM holder will receive one Kyndryl shares for each five IBM shares held as of the record date of Oct. 25. The distribution will be tax-free to IBM holders.

Is IBM or Kyndryl better?

IBM might generate more stable growth without Kyndryl, but Kyndryl is also deeply undervalued as a standalone investment.

Does Kyndryl have a future?

Kyndryl will continue to lead our industry by leveraging our scale and alliances in a broad and expanding market for digital transformation.” But while the market is undoubtedly broad and expanding, it is also highly competitive.

Is a spin-off good for shareholders?

Due to stock price volatility, spinoffs can underperform in weak markets and outperform in strong markets. Historically, spinoffs have been good investments for investors.

How many Kyndryl shares will IBM shareholders get?

IBM stockholders got one share of Kyndryl for every five IBM shares held.

How much Kyndryl will IBM shareholders get?

Holders of IBM common stock received one share of Kyndryl common stock for every five shares of IBM common stock held as of the close of business on the record date, October 25, 2021.

Do spin offs create value?

Spinning off a business can create value and accelerate growth at a company and the spun-off entity, delivering solid, long-term returns for stakeholders.

What is the future of Kyndryl?

Kyndryl is working to expand the total addressable market dramatically from about $240 billion to about $510 billion by 2024 to take advantage of new opportunities and alliances around cloud, security, data, and automation, Schroeter said.