FedEx announced the much-anticipated spinoff of its freight trucking division on Thursday, as it restructures its operations to focus on its core delivery business, sending shares in the parcel delivery giant up as much as 10% in after-hours trading.
Analysts believe the spinoff could unlock up to $20 billion in shareholder value, while clearing the way for FedEx management to zero in on merging operations of its separate Express and Ground units. They also say FedEx Freight assets were not fully appreciated within FedEx and that spinning that business off as an independent company will provide an opportunity to expand and improve that business.
