By Kim Richters

Daimler AG is planning to split into two independent companies and aims to list its trucks business on the stock market before the end of this year, it said Wednesday.

The German car maker plans to rename the business focusing on premium cars to Mercedes-Benz "at the appropriate time," it said.

The spun-off trucks business Daimler Truck will have a fully independent management and stand-alone corporate governance, Daimler said.

As part of the spinoff plan, "a significant majority stake" in the trucks business would be distributed to shareholders of Daimler.

An extraordinary shareholders' meeting is planned for the end of the third quarter to seek approval for the separation.

At 1539 GMT, shares in Daimler traded 7.5% higher at EUR63.71.

Write to Kim Richters at kim.richters@wsj.com

(END) Dow Jones Newswires

February 03, 2021 11:01 ET (16:01 GMT)