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Kellogg Company announced Tuesday that it will split itself into three independent companies.
Driving the news: Kellogg's North American cereal and plant-based foods businesses are being transformed into new, independent firms while the remaining business focuses on "global snacking" with international food products.
- Kellogg's U.S., Canadian, and Caribbean cereal and plant-based businesses accounted for about 20% of company sales last year, while the rest of the business accounted for roughly 80% of net sales.
- The names of the three companies will be determined later, per the press release.
- Company shares jumped 7% in pre-market trading on Tuesday, per Reuters.
What they're saying: "Kellogg has been on a successful journey of transformation to enhance performance and increase long-term shareowner value. This has included re-shaping our portfolio, and today's announcement is the next step in that transformation," Steve Cahillane, Kellogg Company's Chairman and CEO, said in the press release.
Flashback: Kellogg faced sustained worker strikes at its cereal plants last year.