Divestiture

Divestiture is the outright sale of company assets, such as ownership sale to employees, sale of large blocks of stock, or an orderly liquidation. Divestiture is most often due to an asset’s poor contribution to the company. If an asset is not important to the core of a business or if it is worth more to a buyer as a separate unit than it is worth with the company, the company may decide to divest the asset.

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