ConAgra Foods Inc. today filed papers with the Securities and Exchange Commission detailing its planned separation into two independent public companies: Lamb Weston Holdings Inc. and Conagra Brands Inc.
Current ConAgra director Timothy McLevish will become executive chairman of the board of directors of Lamb Weston upon the completion of the spin-off. Thomas Werner, currently president of Commercial Foods at ConAgra, will be CEO and a director.
Lamb Weston’s portfolio will consist of frozen potato, sweet potato, appetizer and other vegetable products, as well as a continued presence in retail frozen products under licensed brands and private brands.
That will leave Conagra Brands primarily with ConAgra's current consumer foods segment – with brands such as Marie Callender’s, Hunt’s, Reddi-wip, Slim Jim, Chef Boyardee, Orville Redenbacher’s, P.F. Chang’s and Healthy Choice – as well as the foodservice business (minus the recently divested Spicetec Flavors & Seasonings and JM Swank businesses).
The separation is expected to be structured as a spin-off of the Lamb Weston business and tax-free to ConAgra Foods and its shareholders. The split is expected to happen this fall.
McLevish most recently was CFO and an executive vice president at Walgreens Boots Alliance Inc., but from 2007 to 2014 he held various positions within Kraft Foods.
“We believe that this separation will create two focused companies that are well-positioned to unlock unique growth opportunities to win in the marketplace and create value for stockholders,” said Sean Connolly, president/CEO of ConAgra, which recently moved its headquarters to Chicago from longtime home Omaha, Neb.