Becton, Dickinson completed the spinoff of its Biosciences & Diagnostic Solutions business on February 9, 2026. One share of the spinoff was received for each BDX share owned. The spinoff immediately merged with Waters Corporation with spinoff shareholders receiving 0.135 shares of WAT for each share of the spinoff company received. This is equivalent to 0.135 shares of WAT for each BDX share held before the spinoff since BDX shareholders received 1 spinoff share per BDX share.
From the information in the SEC filing and form 8937, the cost basis allocation to Waters shareholders from this transaction is the same as if Waters was directly spun off from Becton Dickinson. This will be treated as a spinoff of WAT from BDX. The SEC filing for this transaction can be found on the SEC EDGAR site at this URL :
https://www.sec.gov/Archives/edgar/data/1000697/000119312525327048/d933855ds4a.htm
The cost basis allocation information is calculated from the volume weighted average prices of BDX and WAT on the transaction completion date, February 9, 2026. This method to determine fair market value of the post spinoff companies is the method used in IRS form 8937. A link to IRS Form 8937 can be found on this FAQ page of the Becton, Dickinson web site: https://investors.bd.com/company-information/faq
NOTE:
The cost basis allocation is dependent on the prices used for both Becton, Dickinson and Waters in the cost basis allocation calculations. In our experience brokers tend to use the prices found in the guidance companies post on their websites including IRS form 8937. If available, our instructions will use the guidance in form 8937. If your broker does not use that guidance, or form 8937 is not publicly available, the cost basis of the companies involved as
recorded in your accounting records and in your broker’s records may not match.
This is not cause for concern. This is just due to the inexact nature of the tax code in this regard. Partnership tax returns have specific areas to reconcile these usually small differences. ICLUBcentral tax printer software automatically fills in these adjustments in the normal operation of the software using the data imported from your accounting records and that you enter from your 1099.
The Spinoff Entry
Go to Accounting > Securities > Spinoff in myICLUB.com. If you are unfamiliar with spinoff transactions you can get help at this URL:
https://www.myiclub.com/faq/article.aspx?id=54
Here is the information you need to complete the spinoff.
Step 1
Date: 2/9/2023
Parent Company : Becton, Dickinson (BDX)
Number of daughter companies: 1
Step 2
Choose Remaining Basis Percentage: 78.388 (per form 8937)
Symbol of new company: WAT
Shares received: (0.135 x # of BDX shares owned) Include fractional part, if any. For example, if you owned 100 BDX shares, enter 13.5 (100 x 0.135)
Price Per Share: 335.77 (Price per form 8937)
Cash received: See your broker statement for cash-in-lieu received.
Click Submit to save the transaction and the spinoff has been entered.
