ADI Global Distribution Completes Separation from Resideo, Begins Trading as Independent Company

What happened

On August 3, 2026, ADI Global Distribution Inc. completed its separation from Resideo Technologies, Inc. and distributed all outstanding shares of ADI common stock to Resideo common stockholders. Holders of Resideo common stock as of the July 20 record date received one ADI share for every two Resideo shares. ADI began trading as an independent public company on the New York Stock Exchange under the symbol ADIG.

As part of the separation, ADI issued 150,000 shares of Series A Cumulative Convertible Participating Preferred Stock to Resideo as partial consideration for the transfer of assets and liabilities. The preferred stock was issued in a private placement exempt from registration under Section 4(a)(2) of the Securities Act.

ADI also assumed $400 million in 7.125% Senior Notes due 2034 through a merger of its wholly owned subsidiary ADI Escrow Issuer LLC into ADI Global Distribution Funding LLC. The notes were previously issued in escrow and released upon the merger. ADI used proceeds from the notes and a $600 million term loan facility to pay a $900 million cash dividend to Resideo.

The filing

ADI disclosed the events in an 8-K filed with the SEC on August 4, 2026. The filing reports the entry into a Separation and Distribution Agreement with Resideo and related agreements governing employee matters, taxes, transition services, and intellectual property. It also describes a Registration Rights Agreement and a Shareholders Agreement with CD&R Channel Holdings, L.P. and affiliates, under which CD&R has the right to designate two directors.

The filing further reports a change in control: prior to August 3, ADI was a wholly owned subsidiary of Resideo; following the distribution, ADI became an independent public company. The board of directors was expanded from two to eight members, with appointments effective as of the distribution, including William Galvin, Cynthia Hostetler, Michael Kaufmann, Stephen O. LeClair, Nathan Sleeper, and Brian Walker. Robert Aarnes serves as President and CEO, and other executive officers were appointed as listed in the filing.

Market reaction

The filing does not include any market price data for ADIG shares. No information about trading activity or price movement on the first day of trading is provided in the source.