What will happen once a company is going through spin off and what will be my buy Avg for new shares which am going to receive

What will happen once a company is going through spin off, and what will be my buy Avg for new shares which am going to receive

For example entity A with market share value of 100 Rs exists before spin off and after spin off if one more entity B is formed and split happens in the ratio 1:1 then you will get one share of B for holding 1 share of A.

After spin off if in this case new market price of A is 70 then market price of B will be around 30 as even after spin off the accounting value should maintain and the total should sum to 100. But in reality the price depends on many other macro and micro factors and even in some cases the new entity might not be listed at all so one has to wait till new entity is listed to know its market price.

One can refer to IDFC Bank spin off from IDFC which happened in October 2015 for better understanding.

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