TIME INC.’S JUNE INDEPENDENCE: Time Inc., the publishing arm of Time Warner, has pegged June 6 as its date to go public.
This story first appeared in the May 9, 2014 issue of WWD. Subscribe Today.
According to a filing with the Securities and Exchange Commission Thursday, the spin-off will be official on May 23 and Time Warner shareholders will be entitled to receive one share of Time Inc. common stock for every eight shares of Time Warner common stock they hold on that date. Distribution of those shares will take effect on June 6 at 11:59 p.m., signifying that Time Inc. is an independent company.
In a letter to Time Warner shareholders, Time Inc. chairman and chief executive officer Joe Ripp said: “As an independent, publicly traded company, we believe we can more effectively focus on our objectives and satisfy the strategic needs of our business.”
Time Inc. will be traded on the New York Stock Exchange under the symbol “TIME,” and Time Warner will continue to be traded under the symbol “TWX.”
Upon completion of the spin-off, Time Warner shareholders will own 100 percent of the outstanding shares of common stock in Time Inc.
The filing noted that following the split, Time Inc. expects to have about 715,000 beneficial holders of shares of its common stock and about 110.3 million shares of its common stock outstanding. Time Warner currently owns all the outstanding shares of Time Inc.’s common stock. A trading market won’t exist for Time Inc. common stock until early June.