Can understand why Kellogg wants to forego cereal to focus on a faster-growing snack business. It is not clear that this is best for shareholders, who will be left holding an independent husk business in an unprivileged portfolio without a synergistic interest from the larger group.
The company said Tuesday that it will spin its North American grain business, home to mid-20th century marketing icons like Tony the Tiger and Toucan Sam, with about $2.4 billion in sales last year. It will also start or possibly sell a plant-based food business, including the MorningStar Farms brand, with approximately $340 million in revenue.
