Divestiture or Sell-off

Divestiture, or sell-off, refers to the process where a company sells off a part of its business, such as a subsidiary or division, often to streamline operations or raise capital. This can happen during mergers and acquisitions when the combined organization may shed non-core assets to focus on its main strengths. Divestitures help improve efficiency, reduce debt, or comply with regulatory requirements. Essentially, it’s about a business letting go of certain parts to enhance overall performance and strategically align with its goals.