Special Situation Investing

Thursday, April 06, 2006

(CD) Cendant Split-up

Cendant, the travel and real estate conglomerate, is planning to split into 4 separate, more stream-lined (purportedly) companies throughout the year. It's current holdings include Orbitz, Century 21, and Avis.

In the latest news, Cendant has filed to spin off it's real estate division, Realogy in June. The new company will include Century 21, Coldwell Banker and Sotheby's International Realty..

The real estate division accounted for approx. 40% of 2005 revenue.

The company also announced that next in line, will be the separation/creation of a hospitality /time share business. The hospitality business accounted for approx. 8% of 2005 revenue, while time share made up 10%.


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