ODP At New Low After Deciding To Retain Consumer Business

(RTTNews) - Shares of The ODP Corporation (ODP) are down more than 15% Tuesday morning after the company announced its decision to not to divest the consumer business.

The ODP Corporation provides business services and supplies, products, and digital workplace technology solutions for small, medium, and enterprise businesses.

ODP had previously announced review of proposals received by the company to acquire its consumer business, including the Office Depot and OfficeMax retail stores business and its direct channel business, officedepot.com.

"Given current market and macroeconomic conditions, as well as the benefits of maintaining purchasing and supply chain synergies, the Board has determined that now is not the right time to further pursue separating the Company into two independent, publicly traded companies," said Joseph Vassalluzzo, chair of the Board of Directors of The ODP Corporation. "However, the completion of our internal reorganization will make such a potential separation substantially simpler should the Company determine to resume the separation process following a change of market conditions in the future."

ODP, currently at $29.66, has touched a new low of $29.54 this morning.