Whitbread to spin off Costa chain as a separate firm

http://www.bbc.co.uk/news/business-43891128

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Whitbread is to split off Costa, the UK's biggest coffee chain, as a separate firm, after activist pressure.

The demerger will be "pursued as fast as practical and appropriate" to optimise value for shareholders.

"We will ensure prior to separation each business is sufficiently developed and well-positioned," said Whitbread chairman Adam Crozier.

The activist investors, Elliott Advisors and Sachem Head, together control about 10% of shares.