I bet you missed this one.
It announced on a Friday afternoon, so most folks missed it. And, it sounds innocuous enough …
According to the WSJ:
Sara Lee Corp. said Friday it will seek a listing for its coffee and tea business on the Amsterdam stock exchange, as part of its plan to split the company in two.
Sara Lee said the business will be incorporated in the Netherlands, where its Douwe Egberts coffee brand is already based.
The new company, which also makes Pickwick Teas, will be headquartered in Amsterdam.
Maybe the move is simply to get company execs closer to the relevant markets.
Call me cynical, but I think we’re going to see quite a few of these offshore splits by U.S. companies.
Simple. If Team O continues to push for taxation without repatriation of non-U.S. earnings, you can bet that more American companies will split and plant major parts of their companies in non-U.S. locations.
The economics are compelling …