divestiture

noun

di·​ves·​ti·​ture dī-ˈve-stə-ˌchu̇r 

-chər,

də-,

 chiefly Southern  -t(y)u̇(ə)r

1

: the act of divesting

2

: the compulsory transfer of title or disposal of interests (such as stock in a corporation) upon government order

Examples of divestiture in a Sentence

Divestitures are used to break up monopolies.

Before divestiture, the telephone company monopolized the state.

Recent Examples on the Web

The President must certify to Congress that a party to divestiture has been identified, that significant progress is being made toward it, and that relevant legal agreements are in place to enable execution of the divestiture. —Jill Goldenziel, Forbes, 19 Jan. 2025

Justice Department said TikTok may be playing chicken TikTok’s attorney said the company won’t be able to meet the law’s divestiture requirement by Jan. 19, so the platform will cease to exist in the U.S. unless the law is blocked. —Bart Jansen, USA TODAY, 12 Jan. 2025

Brian Barrett 3 hours ago The government takes a different view on what happens after January 19, suggesting that divestiture could take place even after the deadline. —WIRED, 10 Jan. 2025

Affected companies must sell any such apps through a divestiture process outlined in the ban, or face stiff fines. —Samantha Riedel, Them, 10 Jan. 2025

Word History

Etymology

divest + -iture (as in investiture)

First Known Use

1601, in the meaning defined at sense 1

Legal Definition

divestiture

noun

di·​ves·​ti·​ture dī-ˈves-ti-ˌchu̇r, də-, -chər 

1

: the sale or transfer of title to a property (as an operating division) under court order (as in bankruptcy)

2

: the sale of an asset (as a business division) that is unprofitable, does not enhance a corporate restructuring, or is felt to be morally reprehensible