Aug. 8, 2012, Woodland Hills, CA — United Online has announced a plan to split FTD off into a separate public company.
The company’s FTD unit includes the FTD and Interflora brands. The new public company will feature the domestic and international operations of both FTD and Interflora.
The other company will be United Online, which will continue to operate the company’s content and media and communications segments, including Classmates, Memory Lane, StayFriends and MyPoints.
“While the breadth and strength of our businesses has for many years served our stockholders well, we believe that it currently is in the best interests of United Online and its stockholders to separate these distinct businesses,” said Mark R. Goldston, chairman, president and CEO of United Online.
“The separation is expected not to only to unlock value for the benefit of our stockholders, but also to provide significant operational and strategic flexibility for these businesses, better position them to capitalize on their well-recognized brands, and enhance long-term stockholder value. This approach also is consistent with input received from various stockholders over the past year, many of which have expressed a view that the market price of our shares does not adequately reflect the inherent value of our businesses.”
The proposed spin-off of FTD is expected to take the form of a tax-free pro rata distribution to United Online stockholders.
United Online is currently developing plans detailing structure, management and governance for consideration by its board of directors.