ConAgra To Split Into Two Companies

OMAHA, NE -- ConAgra Foods Inc. said it plans to separate into two independent public companies. It will split off leading brands such as Chef Boyardee and Healthy Choice into ConAgra Brands Inc. and spin off its frozen potato business under the Lamb Weston name.

Immediately following the transaction, which is expected to close in fall 2016, ConAgra Foods shareholders will own shares of both independent companies.

ConAgra Brands will be led by chief executive Sean Connolly and headquartered in Chicago. The operations included in the restructured company comprised $7.2 billion in revenue in fiscal 2015.

Lamb Weston's portfolio will consist of frozen potato, appetizer and vegetable products, and will have a continued presence in retail under licensed and private-label brands. ConAgra said Lamb Weston generated revenues of approximately $2.9 billion in fiscal 2015. Its leadership will be determined at a later date.

ConAgra recently announced the sale of most of its private-label operations to TreeHouse Foods Inc. for about $2.7 billion. It also plans to cut 1,500 jobs as it moves its headquarters from Omaha, NE, to Chicago.