PRINCETON, N.J., Sept. 19 (UPI) -- U.S. business conglomerate Tyco International said it would turn itself into three companies, which would give each of them autonomy and elbow room.
"All three companies will have industry-leading positions in large and fragmented industries and enhanced capabilities to serve their distinct customers," said Tyco Chief Executive Officer Edward Breen, referring to three breakaway firms: A commercial security firm, a residential alarm business and a flow control group.
The move is one of a growing trend of firms breaking up to form smaller, component businesses, The New York Times reported Monday.
Fortune Brands also split the company into three a year ago, creating a golf business that was sold to Fila sports for $1.23 billion, Fortune Brands Home Security and Beam, a bourbon producer.
Kraft Foods announced it would split into two -- snacks and groceries -- and McGraw Hill recently said it would spit itself into two, a textbook company and a market information business.
Netflix also said it would split into two companies on Sunday, turning its DVD mail order business into a new firm called Qwikster, which would be a subsidiary owned by the Internet streaming business, which will keep the name Netfix.