Sealed Air to spin off Diversey Care cleaning systems division

|About: Sealed Air Corporation (SEE)|By:, SA News Editor

Sealed Air (SEE +0.2%) is slightly higher on news of its plan to pursue a spinoff of its Diversey Care division and the food hygiene and cleaning business within its Food Care division.

SEE says it expects the deal to be completed in H2 2017 and is intended to qualify as a tax-free distribution to shareholders for federal income tax purposes.

Ilham Kadri, the current president of the Diversey Care division, would be the CEO of the spinoff company.

Diversey Care generated $2.6B in sales of the $7B in total SEE earnings for the year ended June 30.