Spin-off plans boost SKF shares

SKF AB

17/09/2024 12:57

** SKF  SKFb.ST  shares are up 6% after the Swedish industrial
bearings maker announced it plan to spin off its automotive unit
    ** Shares on track for their best day since February 2023
    ** The group said it aims to list the Automotive business on
Nasdaq Stockholm during H1 2026
    ** Jefferies sees the move as positive, pointing out
Automotive had struggled to achieve its 8% margin target
    ** However, the broker sees the time target of the listing
as "far out" 
    ** "Our concern relates to the costs required for the
separation, given the overlapping nature of the two businesses,"
Jefferies adds
        ** SKF shares reach the top of Stockholm blue chip index
 .OMXS30 
  
    

 (Reporting by Anna Chaberska)
 ((Anna.chaberska@thomsonreuters.com))