SunEdison plans to separate its semiconductor business, which will have
an initial public offering and operate as an independent company with a new
board of directors.
The board of directors of O'Fallon, Mo.-based SunEdison, formerly known as MEMC Electronic Materials, unanimously approved the separation and plans to sell a minority ownership interest in the semiconductor business to the public, according to a statement the company released Thursday morning. The IPO will occur by early 2014.
Following the announcement, SunEdison's stock surged 19 percent in morning trading, to $8.10 a share, up from Wednesday's closing price of $6.81.
Sun Edison makes silicon wafers for the solar and semiconductor industries. The new company will be called SunEdison Semiconductor.
"Today's announcement represents the next evolution in our strategic plan to better position both our solar and semiconductor businesses for sustainable, long-term success," SunEdison's CEO Ahmad Chatila said in a statement. "This new structure will allow each independent company to pursue its shareholder value generating strategies, focus on key markets and customers, optimize capital structures, and enhance access to growth capital for each company in the years ahead."
(c)2013 the St. Louis Post-Dispatch
Visit the St. Louis Post-Dispatch at www.stltoday.com
Distributed by MCT Information Services
Most Popular Stories
- Consumer Prices Edge Up, Surprising Economists
- Stock Market Seesaw Gives Investors Pause
- 'Twilight's' Kristen Stewart Captures Work of Guantánamo Guards in 'Camp X-Ray'
- Weight Loss Claim for Green Coffee Beans Doesn't Hold Water
- Mexico's Pemex Reports Loss
- Holdout Files New Complaint Against Argentina Over Defaulted Debt
- Steris to Add 100 Jobs in Birmingham
- Beepi Eases Peer-to-peer Auto Sales
- Europe's Bank Test Aims to Strengthen Economy
- Ebola in New York, Mali Raises Travel Jitters