ServiceMaster Announces Filing of Form 10 Registration Statement for Planned Spin-Off
Filing Represents Important Next Step in Creation of Two Independent, Publicly Traded Companies; Spin-Off on Track for Completion in Third Quarter of 2018
MEMPHIS, Tenn.--(BUSINESS WIRE)--ServiceMaster Global Holdings, Inc. (NYSE: SERV), a leading provider of essential residential and commercial services, today announced that a Form 10 Registration Statement was filed with the U.S. Securities and Exchange Commission in connection with the planned spin-off of its American Home Shield business.
“This filing marks an important next step in the planned spin-off of the American Home Shield business,” said Nik Varty, ServiceMaster chief executive officer. “The spin-off will create two independent companies with proven long-term strategies, scale and financial strength that will continue to be leaders in their industries. I applaud the incredible efforts of our talented team, led by Dion Persson, senior vice president of Strategic Planning and Business Development, over the last year, and the work that went into this critical project aimed at delivering significant ongoing value to our shareholders.”
The registration statement may be accessed at www.sec.gov under the name frontdoor, inc. (“Frontdoor”), the new corporate name for the parent company of the American Home Shield business. The registration statement provides information regarding the business, strategy, and historical financial results of the American Home Shield business, as well as further details on the anticipated terms of separation and distribution, employment matters, and tax matters agreements between ServiceMaster and Frontdoor in connection with the planned spin-off. Frontdoor expects to update its registration statement in subsequent amendments as additional information is finalized prior to the spin-off.
The spin-off of this business is subject to final approval by the ServiceMaster Board of Directors, execution of intercompany agreements, arrangement of financing facilities, the effectiveness of the registration statement, and other customary conditions. ServiceMaster has received a favorable ruling from the Internal Revenue Service regarding the transaction. The separation will not require a shareholder vote and is expected to be completed late in the third quarter of 2018.
Frontdoor has applied to list on the Nasdaq Global Select Market under the symbol “FTDR.” Following the spin-off, ServiceMaster will continue to trade on the New York Stock Exchange under the symbol “SERV.”
ServiceMaster Global Holdings, Inc. is a leading provider of essential residential and commercial services, operating through an extensive service network of more than 8,000 company-owned locations and franchise and license agreements. The company’s portfolio of well-recognized brands includes American Home Shield (home service plans), AmeriSpec (home inspections), Furniture Medic (cabinet and furniture repair), Merry Maids (residential cleaning), ServiceMaster Clean (janitorial), ServiceMaster Restore (disaster restoration) and Terminix (termite and pest control). The company is headquartered in Memphis, Tenn. Go to servicemaster.com for more information or follow the company at twitter.com/ServiceMaster or facebook.com/ServiceMaster.