Hi, I'm just now learning about spin offs and was reading about the upcoming La Quinta spin off. La Quinta currently trades at @ $19. Each shareholder will get $8.40 back per share. I'm confused as to whether La Quinta stock holders will then own shares of Wyndham or the spin off company, CorePoint. Also, will the shares created by the spin off be exactly the price of La Quinta at the time of the spin off or will there be a difference? For example, if you buy now at $19, will the new share price then be $10.60? Or is it possible for the new shares to start out at $12, where current share holders would make a profit per each share owned?
