Event-Driven Stocks

ESAB Corp

ESABNYSECompleted

Spin-offSpun off from Colfax CorporationENOVNYSE

The two companies

Parent
Orthopedic, Prosthetic & Surgical Appliances & Supplies
↓ spun off ↓
Spin-off
ESAB CorpESABNYSE
Industrials

Open either company's hub for its full SEC financials, ratios, ownership, filings, and every other event it's been part of.

Sector
Industrials
Industry
General Industrial Machinery & Equipment, NEC
Exchange
NYSE
State of incorporation
DE
Record date
March 22, 2022
Distribution date
April 4, 2022
Ratio
1:3
Parent sector
Orthopedic, Prosthetic & Surgical Appliances & Supplies
Form
10-12B/A
Filed
March 17, 2022

Financials — parent vs spin-off

SEC XBRL · latest year
Colfax CorporationFY25
Revenue
$2.25B
Operating income
−$1.12B
Net income
−$1.18B
Total assets
$3.83B
Equity
$1.49B
ESAB CorpFY25
Revenue
$2.84B
Operating income
$412M
Net income
$227M
Total assets
$4.77B
Equity
$2.17B

Latest reported figures from each company's own SEC filings — the parent after the separation and the spin-off as a standalone. Full multi-year history on each company hub.

Spin-off signals

score 3/9 favorable · factors, not advice
  • Focus-increasingYes — Healthcare → Industrials

    Spin-offs into a different sector than the parent (pure-plays) have historically outperformed diversifying ones.

  • Size vs parent (revenue)~126% of parent

    Smaller spin-offs draw more forced selling from holders who can't keep them — the classic mispricing edge.

  • Leverage (liabilities/assets)54%

    A heavy debt load loaded onto the spin-off is a known risk; a clean balance sheet is favorable.

  • Return on capital employed10%

    EBIT ÷ capital employed — the quality metric the spin-off scorecard research weighs most.

  • Operating margin14%

    Profitability of the standalone business, from its own SEC filings.

  • Tax-basis reportNone found

    A Form 8937 (basis allocation) accompanies tax-free §355 spin-offs — favorable for taxable holders.

  • Insider buying (post-spin)None recorded

    Officers/directors buying their own newly independent shares (Form 4) has historically preceded outperformance.

  • Activist holder13D on file

    An activist with a 5%+ stake (Schedule 13D) is a potential value-unlock catalyst.

  • Time since spin-off4.2 years

    Studies find the spin-off return premium concentrates in roughly the first one to three years.

Factors the spin-off research literature (Greenblatt; Cusatis-Miles-Woolridge; Desai-Jain) associates with outcomes — computed from this company's own SEC filings, shown as factors, not a recommendation. The premium is debated and not guaranteed. How we compute these ↗

Filings & documents

Every entry traces to SEC EDGAR. The Information Statement is the primary source; the links below open the full filing and each company's complete filing history.