- Daimler AG's (OTCPK:DDAIF -1.1%) management and board approved a spin off of its trucks division later this year, creating two independent companies named Mercedes-Benz Group and Daimler Truck Holding.
- Daimler will keep a 35% stake in the new truck company and distribute the rest to shareholders who will receive one Daimler Truck Holding AG share for each two Daimler AG shares they currently hold.
"With the spin-off, the two independent listed companies will be able to fully concentrate on their differing customer groups and therefore become more efficient and more successful," said Supervisory Board Chairman Bernd Pischetsrieder.
The new Daimler truck business will become the world's largest truck and bus maker. Shareholders will vote on the proposed spin-off on October 1.
Daimler shares are up ~27.9% since the company announced plans to split in February.
This move comes as Mercedes-Benz announced plans to go all-electric by 2025 last month.