A NewCo or Newco is a term used to describe a corporate spin-off, startup, or subsidiary company before they are assigned a final name, or to proposed merged companies to distinguish the to-be-formed combined entity with an existing company involved in the merger which may have the same (or a similar) name. In a handful of cases the new company may retain the name "Newco".
The term can also be used to describe a company that was created to replace its predecessor, which ceased to exist for reasons such as financial issues: the creation of a NewCo to continue the existence of Rangers F.C. was a notable example.
Examples IBM GTS - Managed Infrastructure Services → Kyndryl 3M’s data storage business (spun off in 1996) → Imation Abbott Laboratories pharmaceutical division → AbbVie Atlas Copco Mining and Rock Excavation Technique business area → Epiroc AT&T computer hardware subsidiary → NCR Bayer chemicals operations → Lanxess BP petrochemicals group → Innovene Merged entity of Cedar Fair and Six Flags → CopperSteel HoldCo, Inc. (immediately renamed Six Flags Entertainment Corporation) Ford Motor Company vehicle components division → Visteon Hewlett-Packard instrumentation division → Agilent Technologies Karstadt merging with Quelle → Arcandor Northwest Airlines regional operations → Compass Airlines Merged entity of NBC Universal and Comcast programming assets → NBCUniversal RAG AG (Degussa, Steag, Immobilien) → Evonik Industries The Rangers Football Club plc (liquidated in 2012) → Sevco Scotland Ltd (later renamed The Rangers Football Club Ltd) Siemens semiconductor subsidiary → Infineon Barnes & Noble Nook's subsidiary → Nook Media
DaimlerChrysler MTU Friedrichshafen division → Tognum (later acquired by Rolls-Royce plc and now the Rolls-Royce Power Systems subsidiary) Merged entity of T-Mobile USA and MetroPCS → corporate name of T-Mobile US; kept both T-Mobile and MetroPCS (later modified to Metro by T-Mobile) brands Fortive precision technology companies → TBD
See also Advent corporation (placeholder)
References