Motorola to split into two companies

Chief Executive Officer of Motorola Edward Zander gestures during a conference
at the 3GSM World Congress in Barcelona, Spain February 15, 2006.

NEW YORK (Reuters) - Motorola Inc said on Wednesday it would split into two publicly traded entities to separate its loss-making handset division from its other businesses, sending its shares up about 5 percent.

The move, which comes amid an intensifying proxy battle against activist investor Carl Icahn ahead of a May 5 annual meeting, could be a prelude for a joint venture for the cell phone business, analysts said. full story