Crane Holdings Co, a provider of products to sectors including the casino industry, says the split into two separate entities comes from “a position of strength,” following “record results in 2022”.
The separate businesses will focus on “highly attractive strategic growth platforms that compete in large, fragmented and growing end-markets,” stated the company in a Wednesday press release.
Crane reported net income of US$410.6 million for full-year 2022, on net sales that were flat year-on-year, at just above US$3.37 billion.
Crane Holdings had said the group intends to split into two independent, publicly-traded companies on April 3 this year.
The separation is to occur through a tax-free distribution of the aerospace and electronics, process flow technologies, and engineered materials businesses to the group’s shareholders. These businesses will be under a new entity called Crane Co.
Upon separation, Crane Co initially will pay a dividend of US$0.72 annually, or US$0.18 per share quarterly, according to the announcement.
Crane Holdings will retain the payment and merchandising technologies businesses, and will be renamed Crane NXT Co.
Upon completion of the separation, Crane Holdings’ existing shareholders “will own 100 percent of the equity in both of the publicly traded companies,” stated the company.
Aaron Saak, president and chief executive of Crane NXT, said in prepared remarks: “As Crane NXT prepares to become an independent company on April 3, I couldn’t be more excited about the significant opportunities and positive outlook for our business.”
He added: “We see outstanding potential to drive long-term shareholder value by growing our core businesses while expanding into high-growth adjacencies.”
In late February, the group said it had appointed Christina Cristiano as chief financial officer of Crane NXT.
