This week’s additions and highlights
1. SPIN-OFFS
- Abbott Laboratories (ABT US). We always love some troubled spins. Abbott intends to spin its Nutrition business (~$8.5bn revenues, c. 17% of group) by the end of 2027. Poor markets (Nutrition has barely grown in recent years) and there’s a lot of baby-formula lawsuits going on. Meanwhile the rest of Abbott grows faster. So, still early, but potentially one that is going to get hammered.
- Silgan (SLGN US). Packaging company Silgan will combine its metal containers and food & beverage closures businesses with Trivium Packaging, creating a ~$7bn global metal packaging company (Silgan MCC). Silgan will receive $2.3bn in cash, reduce debt and expenses, and gain more flexibility to invest in growth ($225m cost synergies within three years and >15% growth in adjusted EPS and FCF). Silgan said that this deal “defines a pathway” to an eventual spin that would create two separate companies. Closing expected in mid-2027.
- UPM-Kymmene (UPM FH). A reminder that the spin of UPM’s Plywood operations (”WISA Group”) is on track for Oct 31 (trading ~Nov.2). This thing might be interesting given its quite small size and different business from the rest of the group. Adding to that, basically every other UPM unit (roughly six) is performing badly at the moment. We could see a REALLY big dump in the shares here.
- Ramsay Health Care (RHC AU). Ramsay is planning to spin‑off its struggling European arm, Santé, expected Q4 26. This immediately revived the takeover angle here. By carving out the lowest‑margin, most complex part of the group, Ramsay removes the very obstacle that derailed KKR’s 2022 bid. The CEO wouldn’t comment on M&A, but the move seems like a clear simplification that makes the Australian hospitals business cleaner, higher‑visibility, and easier to value.
UPDATE (October 27, 2026) A reminder that Ramsay’s ~53% stake in Ramsay Generale De Sante (GDS FP) will be distributed to shareholders on Dec. 9. Another one where we could see some dumping. This creates an unusual ASX listing for a European hospital operator with no operations in Australia. GDS shares have already been reacting it seems, down ~20% of the past few months. (Way) more to come?
2. STRATEGIC ALTERNATIVES & REVIEWS
(Potential take-outs, asset sales, M&A, etc.)…