ADI Global Distribution spins off from Resideo, launches as an independent NYSE-listed company

summarizeSummary

ADI Global Distribution Inc. completed its spin-off from Resideo Technologies, becoming an independent public company. The transaction involved distributing ADI shares to Resideo stockholders, issuing preferred stock, assuming significant debt, and establishing a new board and management team.

check_boxKey Events · M&A and Partnerships · ADIG

• Spin-Off Completion

  On August 3, 2026, ADI Global Distribution completed its separation from Resideo Technologies and began trading as an independent public company on the NYSE under the symbol ADIG. Resideo distributed one share of ADI common stock for every two shares of Resideo common stock held as of the record date.

• Material Agreements Executed

  ADI entered into a Separation and Distribution Agreement, Employee Matters Agreement, Tax Matters Agreement, Transition Services Agreement, and Intellectual Property Matters Agreement with Resideo, as well as a Registration Rights Agreement and Shareholders Agreement with CD&R entities.

• Preferred Stock Issuance

  As partial consideration for the transfer of assets and liabilities in the separation, ADI issued 150,000 shares of Series A Cumulative Convertible Participating Preferred Stock to Resideo.

• Debt Financing

  ADI assumed $400 million of 7.125% Senior Notes due 2034 and entered into a credit agreement providing for a $600 million term loan and a $500 million revolving credit facility. Proceeds were used in part to fund a $900 million cash dividend to Resideo.

auto_awesomeAnalysis · ADIG · Trade & Services

Marking a transformative milestone, ADI Global Distribution Inc. has completed its separation from Resideo Technologies and now trades independently on the NYSE under the ticker ADIG. The spin-off was executed through a distribution of one ADI share for every two Resideo shares held. To effect the separation, ADI entered into several critical agreements with Resideo and CD&R—covering separation and distribution, employee matters, tax matters, transition services, and intellectual property. As partial consideration, ADI issued 150,000 shares of Series A Cumulative Convertible Participating Preferred Stock to Resideo. The company also assumed $400 million in 7.125% senior notes due 2034 and secured a $600 million term loan alongside a $500 million revolving credit facility. A new eight-member board of directors has been appointed, and the executive team is led by CEO Robert Aarnes. Additionally, ADI adopted amended and restated certificate of incorporation and bylaws, a code of conduct, and corporate governance guidelines. This event establishes ADI as a standalone entity with its own capital structure, governance, and strategic direction.