The Benefits of Spinning It Off

Jack Ma, the founder of Chinese e-commerce giant Alibaba, is spinning off his company. Cara Delevingne: It's a great idea for shareholders to have separate companies that can do what they want. She says CEOs often overpay two thirds of acquisitions and end up destroying shareholder value. Delevingne: The moment you unlock value from a conglomerate isn't getting any scale or real synergy here other than reducing the headaches and the indigestion to CEO.