PepsiCo Sells Quaker Oats Unit

PepsiCo Inc. sold its Quaker Oats bagged-cereal business to closely held Malt-O-Meal Co. for an undisclosed price to focus on more-profitable boxed-cereal brands such as Cap’n Crunch.

The bagged-cereal unit includes brands such as Quaker Frosted Shredded Wheat. The business represented about 5% of Quaker’s North American food sales last year, PepsiCo said.

Shares of PepsiCo rose 69 cents to $42.90 on the NYSE.