Kyndryl is set to kick off trading Thursday, Nov. 4, on the New York Stock Exchange under the ticker symbol “KD” following the completion of the managed infrastructure services business’ separation from IBM (NYSE: IBM).
IBM said Wednesday its stockholders will get a share of common stock in the spinoff company for every five shares of IBM common stock held as of the distribution record date of Oct. 25.
IBM noted that it will retain 19.9 percent of the shares of common stock in Kyndryl and plans to exchange those remaining shares for IBM debt in the 12 months following the distribution’s completion.
“The separation of Kyndryl is one of many actions we are taking to sharpen our focus on hybrid cloud and AI, leverage a portfolio clearly focused on technology and consulting, and achieve our growth objectives,” said Arvind Krishna, chairman and CEO of IBM.
IBM announced its move to spin off its managed infrastructure business in October 2020. In April this year, the technology company disclosed that Kyndryl will be the name of the new independent company that will be formed from the separation, which was approved by IBM’s board of directors in October.
Kyndryl named 10 business leaders to its board in September. The members of the independent public company’s senior leadership team, operating model and global structure were unveiled in July.