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  EDS CEO Michael Jordan last week said that the company hopes to sell A.T.Kearney by the end of the year.
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In an interview with Reuters Jordan said that he expects to spin off A.T. Kearney to its partners, who would seek financing to take the company private.

For the last year the company has strongly denied media and analysts’ speculations that the money-losing consultancy will be sold as part of EDS’ recovering plan.

Jordan ruled out the possibility of selling the business to another company, saying that a straight sale will not work. He said this kind of business, referring to A.T. Kearney, cannot be sold, as it's driven by key people.

The price will be “several hundred million,” he said. Asked whether it could exceed $700 million, he said no.

EDS bought A.T. Kearney in 1995 for about $300 million.

Jordan, a former consultant himself, said he believes the consultancy would flourish if officers owned equity in the firm. He would like to give partners ownership so they can share profits and better align their own interests with the firm.

EDS is also selling “a couple of small things” for $200 million to $250 million, including a European billing service for mobile operators called IOS, which is expected to sell for more than $100 million, Jordan said.
 
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