Gap Soars 16% After Ending Plan To Spin Off Old Navy… After Soaring 18% On Plan To Spin Off Old Navy
Late February last year, Gap announced its plans to create two independent publicly traded companies: spinning off Old Navy and a yet-to-be-named company.
Shares soared 18% on the news.
Tonight, after hours, Gap has issued a statement that it is scrapping plans to spin off its Old Navy brand.
“The work we’ve done to prepare for the spin shone a bright light on operational inefficiencies and areas for improvement,” said Gap chief executive Robert Fisher, adding that the company has “learned a lot” and intends to operate in a manner that “empowers our growth brands, Old Navy and Athleta.”
Shares soared 16% after hours…
This is the ‘market’ you are trading in…
Buy the spinoff rumor, and buy the spinoff withdrawal news?
We are seeing a pattern here.
Thu, 01/16/2020 – 16:57