United Technologies Corp. (NYSE: UTX) reported that its board of directors has approved the previously reported separation of Carrier and Otis. A pro rata dividend of Carrier Global Corporation (NYSE: CARR) common stock and Otis Worldwide Corporation (NYSE: OTIS) common stock will be effective on April 3rd, 2020 to UTC shareholders of record as of March 19th, 2020. UTC shareowners will receive one share of Carrier common stock and half of a share of common stock of Otis for each UTC common stock held to the record date.
Distributions are subject to certain conditions. The company expects that the issued trading for Carrier’s and Otis’ respective common stocks will begin on March 18th, 2020 under the symbol CARR-WI for Carrier and OTIS-WI for Otis.
“We are taking another important step in the transformation of UTC and the establishment of two independent companies that are leaders in their respective industries with attractive investment profiles,” said UTC Chairman and Chief Executive Officer Gregory Hayes. “As standalone public companies, Carrier and Otis are each well-positioned to drive sustained growth and innovation, with more focused business strategies that will enable them to maximize value for their customers and shareowners.”
Hayes continued, “Executing the separations of Carrier and Otis is also a major milestone to completing the merger of UTC’s aerospace businesses with Raytheon to create Raytheon Technologies, the premier aerospace and defense systems and services provider. Together, we will have a balanced and diversified portfolio with best-in-class technologies to address a full range of customer priorities and drive sustainable growth over the long-term. Our goal continues to be to have the merger ready to close concurrent with the portfolio separation.”