GenCorp to Go to Calif. After Spinoff
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GenCorp said Thursday that it plans to split into two companies, one of which will remain in the Akron, Ohio, area while the other moves its headquarters to California.
There may be some layoffs among GenCorp’s current corporate staff of 170 people, but how many hasn’t been determined.
To make the split, GenCorp plans to spin off its performance chemicals and decorative and building products businesses to GenCorp shareholders.
The as-yet-unnamed company will keep its headquarters in the Akron area. The GenCorp divisions involved now have a nationwide work force of roughly 3,000 employees, with revenue of about $900 million, company spokeswoman Rosemary Younts said.
GenCorp will keep its existing aerospace, defense, fine chemicals and automotive sealing divisions. Those units have about 7,000 employees nationwide and revenue of about $1 billion, Younts said.
The new GenCorp will move to California, where most of the company’s remaining businesses have large facilities, she said. Executives haven’t decided which city they will use for the headquarters.
The deal, which is subject to approval by GenCorp shareholders, could be completed in six to nine months, Younts said.
plans to hold GenCorp shares rose $1.06 to close at $26.25 on the New York Stock Exchange.
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