Spin-offs/Labcorp (Laboratory Corporation of America Holdings) → Fortrea Holdings Inc.

Fortrea Holdings Inc.FTRE

Spin-off from Labcorp (Laboratory Corporation of America Holdings) (LH) · Jun 30, 2023 · Nasdaq

Announced

Jul 28, 2022

Form 10 filed

May 15, 2023

Record date

Jun 20, 2023

Distributed

Jun 30, 2023

Ratio

1 : 1

Debt loaded

$1.6B

Cash to parent

—

Latest filing

Jun 8, 2023

one share of Fortrea for every share of Labcorp

Documents

Form 10 Information statement Announcement 8-K Press release New company filings Parent filings

Both companies today

The new company

Fortrea Holdings Inc.FTRE

Market cap

$1.58B

Moat

None

Quality

Price

$17.70

Fair value

—

Price / FV

—

The parent

Labcorp (Laboratory Corporation of America Holdings)LH

Market cap

$27.2B

Moat

Narrow

Quality

Price

$326.89

Fair value

$330.49

Price / FV

1.01×

Moat ratings, quality scores and fair value estimates are MoatScope research opinions and refresh with the data pipeline. Price / FV below 1.00× means the shares trade under our base-case estimate.

What is being separated

Fortrea is a global contract research organization providing phase I through IV clinical development, clinical pharmacology, patient access and related services to pharmaceutical, biotechnology and medical device customers, built on more than 30 years of operations inside Labcorp.

Stated rationaleLabcorp said separating its Clinical Development and Commercialization Services business would let Fortrea serve CRO customers independently while Labcorp concentrates on diagnostics.

The four questions

The four-question write-up for Fortrea Holdings Inc. is pending. Terms, documents and both companies’ numbers above are live; the checklist is added once the information statement has been worked through.

Not investment advice. Terms are as stated in the latest filing; spin-off shares are often thinly covered and volatile in their first months.