On February 7, 2025, Lennar Corporation (LEN, Financial) announced the successful completion of its previously declared taxable spin-off of Millrose Properties, Inc. This strategic move was finalized through the distribution of approximately 80% of Millrose's outstanding shares to Lennar's shareholders, marking a significant milestone for both companies.
The distribution was executed as of 8:30 a.m. Eastern Time, with Lennar stockholders receiving one share of Millrose Class A common stock for every two shares of Lennar Class A or Class B common stock held as of the record date, January 21, 2025. Shareholders also had the option to elect Millrose Class B common stock, with fractional shares being adjusted accordingly.
As a result of this distribution, Millrose Properties is now an independent public entity, with its Class A common stock trading under the symbol "MRP" on the New York Stock Exchange. However, Millrose Class B common stock will not be listed. The spin-off has resulted in 120,980,401 shares of Millrose Class A common stock and 11,819,811 shares of Millrose Class B common stock being distributed to Lennar shareholders, representing approximately 80% of Millrose's total outstanding shares.
Lennar Corporation will temporarily retain approximately 33,200,053 shares of Millrose Class A common stock, accounting for about 20% of the total outstanding shares. Lennar plans to dispose of these shares through various potential transactions, including a subsequent spin-off, split-off, public offering, or private sale.
This strategic spin-off is expected to provide both Lennar and Millrose with enhanced focus and flexibility to pursue their respective growth strategies, benefiting shareholders and positioning both companies for future success.
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