Kraft Heinz planning spin-off of grocery business, WSJ reports

Kraft Heinz (KHC) is preparing to break itself up, spinning off a large portion of its grocery business into a new entity that could be valued at as much as $20B on its own, Lauren Thomas and Jesse Newman of Wall Street Journal report, citing people familiar with the matter. The remaining company would consist of housing goods, the Journal says. The company’s hope is that the two separate units would be worth than Kraft Heinz’s current market value, the paper adds. A split could be finalized in the coming weeks, sources told the Journal. “As announced in May, Kraft Heinz has been evaluating potential strategic transactions to unlock shareholder value,” a Kraft Heinz spokesperson said. The stock in afternoon trading is up 3% to $27.27.