Client challenge
To spin off a successful division and create two separate companies by:
- Addressing the challenges of splitting highly integrated legal entities and corporate infrastructures.
- Preparing for the potentially high costs of separation.
- Understanding how disruptive operational changes could affect the organization.
PwC’s solution
Plan and execute a successful separation by:
- Applying the Fit for Growth* approach to analyze and target specific areas for new
post-split efficiencies. - Collaborating with company leaders to apply outsourcing judiciously as a tactic to split integrated departments.
- Managing change through effective communication to retain talent and get managerial ownership.
Impact on client’s business
- The company achieved $150 million in savings directly related to the divestiture.
- It predicted an additional $150 million in post-split savings thanks to new post-separation opportunities.
- Several years post-separation, both companies’ value, growth, and earnings are exceeding expectations.
