Acuity Brands to spin off specialty products division

By Angela McDaniels

Seattle, Oct. 8 - Acuity Brands, Inc. said its board of directors approved the spinoff of the company's specialty products business.

The new, independent company will be called Zep Inc. and is expected to be listed on the New York Stock Exchange under the ticker symbol "ZEP," according to a company news release.

Atlanta-based Acuity Brands is made up of Acuity Brands Lighting and Acuity Specialty Products. Following the spinoff, Acuity Brands will be focused solely on its lighting fixtures business, and Zep will provide cleaning and maintenance services and products to commercial, industrial, institutional and consumer end-markets.

The spinoff will be accomplished through a pro rata distribution of Zep shares to Acuity Brands shareholders on Oct. 31. Shareholders as of Oct. 17 will receive one share of Zep common stock for every two shares of Acuity Brands common stock.

Acuity Brands said the spinoff will be tax free to Acuity Brands and its stockholders for U.S. federal income tax purposes.

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