Divestment

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Updated: Aug 20, 2021

The disposal of part of its activities by a firm. This sometimes reflects the commercial judgement that the activity concerned would be more profitable operating independently or run by another firm. In other cases, divestment is required by anti-monopoly regulators to reduce a firm’s monopoly power.

Reference: Oxford Press Dictonary of Economics, 5th edt.



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James Knight
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James is the Editor of Education for Invezz, where he covers topics from across the financial world, from the stock market, to cryptocurrency, to macroeconomic markets.... read more.