What is the pitch/argument that Bankers make when they argue that a company should spinoff a division?
For instance, why did McDonald's spin off Chipotle? Obviously Chipotle's growth was more than MCD's.
Is it a way to get "free" cash for MCD (without issuing debt or selling treasury shares)?
Is it a case where the sum of the parts is greater than the whole? If so, why?
Thanks for your thoughts.
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