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Jun 30, 1997

Putting Spin on Spin

Follow up on recent demerger stories to check out how best to tailor an IR message in a time of upheaval

'Bigger is better,' was what IROs of conglomerates used to say, before they discovered the joys of demerging. Today, demergers are all the rage, as fashionable as black evening wear or showing up late. Several high-profile companies, from Thorn EMI in the UK to Chargeurs in France and AT&T in the US, have recently demerged as a way to gain management focus, attract analyst coverage and win higher multiples for growth businesses buried within a corporation. As the term implies, 'demerging'

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