Kraft Heinz is studying a potential spin off of a large chunk of its grocery business, including many Kraft products, into a new entity that could be valued at as much as $20 billion on its own, a source familiar with the matter said on Friday.

Kraft Heinz’s stock value is down about 70 per cent since the highs it reached in 2017, when the company was seen as a pioneer in the industry. News of the potential break-up was first reported by the Wall Street Journal.

Kraft Heinz may be headed for a breakup. The packaged food conglomerate is planning to spin off a large chunk of its grocery business, the Wall Street Journal reported Friday, effectively undoing a 2015 merger that’s now widely regarded as a strategic blunder.