Food maker Kraft Foods Inc said it would split itself into two listed companies, comprising its global snacks business and its North American grocery business.

Kraft is the latest in a host of companies that have moved to separate their disparate operations, including Fortune Brands, Sara Lee and ITT.

The maker of Cadbury chocolate bars, Oreo cookies and Velveeta cheese said it would spin off its North American grocery business to its shareholders.

The grocery business -- which would have annual revenue of about $16 billion -- would include its U.S. beverages, cheese and convenient meals with brands like Maxwell House coffee and Jell-O desserts.

The Global snacks companies will consist of its Europe and Developing Markets units and its North American snacks and confectionery businesses.

The company -- with annual sales of $32 billion -- will have brands like Oreo cookies and Cadbury.

It aims to complete the spin off by the end of 2012, Kraft said in a statement.

Separately, Kraft raised its full-year outlook as it reported better-than-expected quarterly results due to higher prices of its brands.

(Reporting by Mihir Dalal in Bangalore; Editing by Saumyadeb Chakrabarty)