Business spin-off boosts Sodexo shares

Sodexo (SW.FR) shares are gaining nearly 11% in today's session, climbing to their highest levels in more than three years, after the French company announced results for the first half of its fiscal year and plans to separate and list its Benefits&Rewards unit in 2024.

The financial results themselves managed to beat analyst consensus, largely due to the smooth implementation of the assumed restructuring process. According to analysts, the projected continuation of the earnings improvement trend, combined with the positive catalyst of the disconnection of part of the business, may support the company's performance in the broader term. Source: Sodexo

The listing of the newly separated business unit will be achieved through a distribution of shares to existing Sodexo shareholders.

Sodexo's results and comments on the company's planned business split. Source: Bloomberg

Sodexo (SW.FR) shares break out to levels not seen since 2020. Source: xStation 5. W1 interval.