Before the bell, shares have spiked 18.9% to $116.17.
In a statement, the company said its household products and personal care divisions will split into independent companies. The separation is expected to be completed in the second half of the 2015 fiscal year.
The household products business will hold Energizer's batteries and portable lighting products and is expected to report annual revenue of around $1.9 billion.
Its personal care business which includes brands Schick, Carefree and Banana Boat is expected to generate annual revenue of around $2.6 billion.
TheStreet Ratings team rates ENERGIZER HOLDINGS INC as a Buy with a ratings score of A-. TheStreet Ratings Team has this to say about their recommendation:
"We rate ENERGIZER HOLDINGS INC (ENR) a BUY. This is based on the convergence of positive investment measures, which should help this stock outperform the majority of stocks that we rate. The company's strengths can be seen in multiple areas, such as its largely solid financial position with reasonable debt levels by most measures, reasonable valuation levels, expanding profit margins and increase in stock price during the past year. We feel these strengths outweigh the fact that the company has had sub par growth in net income."
Highlights from the analysis by TheStreet Ratings Team goes as follows: