Divestiture
The partial or full disposal of an investment or asset through sale, exchange, closure or bankruptcy. Divestiture can be done slowly and systematically over a long period of time, or in large lots over a short time period.
Investopedia Says:
For a business, divestiture is the removal of assets from the books. Businesses divest by the selling of ownership stakes, the closure of subsidiaries, the bankruptcy of divisions, and so on.
In personal finance, investors selling shares of a business can be said to be divesting their interests in the company being sold. Related Terms:
Carve-out (Equity Carve-Out)
Conglomerate
Conglomerate Discount
Disposition
Rights Offering (Issue)
Sale
Spinoff
Sum-of-Parts Valuation |