[SJC_Hacker]

This only applies to public companies. Private enterprises can do whatever they want (within the law of course, and assuming they have majority interest)

And it may not compel a specific action. The law is there mainly to prevent situations whereby corporate officers tank a company on purpose say, for the benefit of another company for which they are the shareholders or receive other benefits. Say, pass on a deal from company X which has more favorable terms vs. company Y for which the CEO sits on the board. In this case the CEO could be held fiscally and potentially criminally liable for acting against the best interests of the company.

Short of a bankruptcy, I'm not sure there is any legal compulsion to sell off any part of a company.