Investment firm Black River Asset Management will spin out of its parent company, agricultural giant Cargill, and split into three separate employee-owned firms, Cargill and Black River executives said on Monday.

The move, expected to occur during the next several months, comes after recent challenges for Black River. The Minnesota-based hedge fund and private equity firm in July said it planned to close four of its hedge funds and return more than $1 billion to investors, citing a lack of demand for the funds.