An awk version that might circumvent the line limit get's a bit complicated, but you could try this:
awk '
NR==1 && getline n {
f="sample_1_" n ".txt"
print $1 >> f
print RS n >> f
next
}
NF==2 && getline n {
print RS $1 FS >> f
close(f)
f="sample_1_" n ".txt"
print $2 >> f
print RS n >> f
next
}
{
print RS $1 >> f
}
END{
print FS >> f
}
' RS=\| ORS= FS='\n' infile
Any utility specified to read text files (including awk, grep, read, and sed) may fail on any line longer than LINE_MAX bytes long. The value of LINE_MAX on your system can be found by running the command: getconf LINE_MAX . The cut, paste, and fold utilities, however, are required to work with text files with unlimited line lengths. So, a way to do this is to:
Use cut to create a file just containing field 2 from your intput file into a file (e.g., name_list).
Use cut to create a file with the first LINE_MAX-5 bytes from of your input file into a file (e.g., part001).
Use cut to create other files with sequential sets of LINE_MAX-5 bytes from your input file (e.g., part002 ... partXXX) such that every of part of your input file has been split into a file with lines less than LINE_MAX bytes long.
Read name_list and calculate the name of the file to contain the reassembled input line.
Read a line from each of the partXXX files and write it to the appropriate output file. (Note that the writes may have to be done as a separate write for each partXXX file line adding a trailing newline character to the write of the last partXXX file.) You could also create separate output_field2_partXXX files, and use paste to create the final output files from these intermediate files.