07:39 AM EDT, 06/14/2024 (MT Newswires) -- Private equity firm Carlyle (CG) and German development bank KfW are in talks to buy most of Thyssenkrupp's submarine unit jointly, Reuters reported late Thursday, citing three people familiar with the matter.

Carlyle would get a majority stake, while KfW would hold a blocking minority and Thyssenkrupp a minority stake, according to Reuters.

KfW, which has completed a preliminary review into a possible deal, is preparing a deeper assessment of the asset, potentially valued between 1.2 and 1.6 billion euros ($1.3-$1.7 billion), Sources told Reuters, adding delegations of both Carlyle and KfW recently visited Thyssenkrupp Marine Systems sites in Germany for continued negotiations.

If aligned, a deal could be reached by September; however, Reuters reported that talks may be delayed or fall apart due to valuation differences.

Carlyle, KfW and Thyssenkrupp have not immediately responded to MT Newswires' request for comment.

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