Another option would be to shut the group or let its traders spin it off into a separate fund or funds and seek capital from outside investors.
"The thought might have been, let's have a wholly owned subsidiary now and maybe if it does succeed, we can just spin it off into its own company".
The Arlo line was something of a surprise hit for Netgear, causing the networking company to spin it off into its own business earlier this year.
Instead, as it slowly began to grow within Obvious, Stone, Williams, and Twitter creator Jack Dorsey decided to spin it off as its own company, Twitter, Inc.
G.M. is phasing out its Oldsmobile division and is trying to sell its Hughes Electronics subsidiary or spin it off to shareholders as a separate company.
News Corp developed Amplify, an educational-software division, and appointed Joel Klein, the former New York schools chancellor, as its head, only to spin it off this fall after school districts declined to buy into it.
Barry Ritholtz, chief market strategist for Ritholtz Research & Analytics, says a better move for GE would be to buy Dow Jones on its own, bundle it with CNBC, and spin it off as a standalone company.
Morgan Stanley Says It Will Keep Discover Unit Rather Than Spin It Off In a reversal of a strategic decision made during a time of management turmoil this spring, Morgan Stanley said that it would keep its Discover card business and would not seek to spin it off.
E1 BUSINESS DAY C1-16 Chatges at Morgan Stanley Morgan Stanley said it would keep its Discover card business and would not seek to spin it off, reversing a strategic decision it had made this spring.
It exited the low-margin PC business and considered divesting its federal computer business, but later decided not to spin it off.
So why not spin it off to shareholders where it can sink into oblivion on its own when it runs out of cash and borrowing power?
