The Challenge:
Alpha supported a global leader in branded lifestyle apparel with a spinoff of a well-known product/brand portfolio. The parent company made the strategic decision to spinoff a major legacy division into a separate, publicly traded entity. The new company would house iconic, well-known brands. The company’s objective was to allow both the original parent company and the newly formed spinoff entity to focus more strategically on their distinct growth paths.
Alpha’s objective was to manage external and internal communications during the spinoff, ensuring:
- Transparency, stakeholder clarity and confidence during a period of transition.
- Minimal disruption to customer and employee relationships.
- Effective media coverage and investor communication.
- Development of “newco’s” independent brand narrative.
Alpha’s Solution:
- Overall Goal: Alpha’s approach focused on transparency, alignment, and brand differentiation.
- Narrative development: Created a compelling story for newco as a heritage/legacy company with a renewed focus on innovation, global expansion, and sustainability.
- Internal Communications: Crafted messaging and toolkits for leadership to cascade information to global teams, reinforcing employee confidence and retention.
- Media: Orchestrated a comprehensive engagement plan including press releases, executive interviews, and media training for leadership.
- Digital Transition: Managed the launch of newco website, ensuring clear positioning and stakeholder engagement across digital channels.
- Investor Relations: Developed and deployed a comprehensive Wall Street engagement strategy, focused on strong messaging, materials, investor and sell-side targeting, as well as a detail calendar of events to become and stay visible to the Street.
- Perception: Large format perception study pre-spin was conducted across multiple stakeholder groups to understand the landscape, expectations, risks and perceived opportunities associated with the spinoff.
Results:
- By shaping a clear, consistent narrative and engaging stakeholders early and often, both the parent and newco set the stage for long-term strategic success.
- The spinoff successfully debuted on the NYSE under a new ticker, with strong initial investor interest due to our revamped messaging efforts, strategic targeting work and Wall Street engagement planning.
- The spinoff was widely covered in top-tier media (e.g., Forbes, WSJ, Bloomberg), with messaging consistently aligned to strategic goals.
- Both entities’ employees reported high satisfaction with internal communications, as measured by post-spinoff surveys.
- Newco established a distinct corporate identity while retaining the equity of its heritage brands.
