Breakin' up is hard to do

Corporate restructuring is all the rage this morning.

In an effort to let each of its units grow at their own pace, Tyco International Ltd. announced plans today to split up into three companies.

The Bermuda-based company will spin off Tyco Healthcare and Tyco Electronics from itself, in a deal expected to cost the company $1 billion.

Tyco has battled back from financial and legal trouble after a management scandal in 2002. Industry analysts now speculate all three units could become takeover targets, once the split is complete in 2007.

In other break up news, Federated Department Stores Inc. has hired Goldman, Sachs & Co. and J.P. Morgan Chase & Co. to sell its 180-year-old department store chain, Lord & Taylor, and has given them nearly a year to do it.

The Cincinnati retailer took the chain as part of an $11 billion acquisition of St. Louis's The May Department Stores Co. in August and is reportedly looking to unload it in favor of beefing up its Macy’s and Bloomingdales stores. One analyst speculated Seattle-based Nordstrom might be seen as a viable strategic acquirer for Missouri-based L&T. —Carolyn Murphy

Tyco to split into three
Federated to sell Lord & Taylor
Federated, May tie the knot
Today's Deals

Deal Video

	Inside The Deal: Avaya Inc.'s Mohamad Ali on the company's next target.
More video...

Elsewhere on The Deal.com

Dealwatch

• Confectioners: Cadbury, Hershey, more
• AOL
• Restaurants in the hot seat
• Ponzi schemes, fraud and other misdeeds

The Deal Magazine

• The kids are all right
• The search for auspiciousness
• Be true to your school
• Waiting to exhale

Corporate Dealmaker

• Dell drives in IT services as PC slump deepens
• Proxy prelim: CF wins Terra board seats
• Deal Economy 2010: Avaya's Ali on digesting Nortel
• Disney, Microsoft, Abbott Labs win M&A awards

The Deal Video

• Deal Economy 2010: Centerview's Effron on large deals
• Deal Economy 2010: Bove on Goldman's $500M donation
• Bove's top two candidates for BofA CEO
• PwC's Ross on divestments

Categories

• Bankruptcy
• Corporate restructuring
• Deal international
• Dealmakers
• Featured
• IPOs
• M&A
• Middle market
• Law & regulation
• Private capital
• Conferences
• Technology

Blog roll

• BloggingBuyouts
• BloggingStocks
• Dealbook
• DealBreaker
• Deal Journal
• FT Alphaville
• footnoted.org
• Going Private
• peHUB
• Reuters Dealzone
• SEC Investor
• Prince Of Wall Street
• Bankruptcy Bill
• Information Arbitrage

Archives

• November 2009
• October 2009
• September 2009
• August 2009
• July 2009
• June 2009
• May 2009
• April 2009
• March 2009
• February 2009
• January 2009
• December 2008
• November 2008
• October 2008
• September 2008
• August 2008
• July 2008
• June 2008
• May 2008
• April 2008
• March 2008
• February 2008
• January 2008
• December 2007
• November 2007
• October 2007
• September 2007
• August 2007
• July 2007
• June 2007
• May 2007
• April 2007
• March 2007
• February 2007
• January 2007
• December 2006
• November 2006
• October 2006
• September 2006
• August 2006
• July 2006
• June 2006
• May 2006
• April 2006
• March 2006
• February 2006
• January 2006
• December 2005