Globally integrated capital markets provide foreigners with unfettered access to local capital markets and local residents to foreign capital markets.
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The parent firm generally retains control of the business involved in an equity carve-out.
Equity carve-outs have some of the characteristics of both divestitures and spin-offs.
Both a divestiture and a spin-off generally generate a cash infusion for the parent.
Spin-offs are generally immediately taxable to shareholders.