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Monday, July 28, 2014

Carlyle nears $5 billion deal for Acosta -source, (NASDAQ: CG)

Carlyle Group LP is in advanced talks to acquire Acosta Sales and Marketing, in a deal that could value the consumer goods marketing agency at close to $5 billion including debt, a person familiar with the matter said on Monday. Carlyle, a Washington, D.C-based takeover firm, is in the final stages of negotiating the deal with Acosta's current private equity owner, Thomas H. Lee Partners LP, and could secure an agreement as early as this week, the person said.The source spoke on condition of anonymity because the talks are confidential. Carlyle, Thomas H. Lee and Acosta declined to comment. The New York Post reported on the deal earlier on Monday.The buyout talks underscore the unabated willingness of private equity firms to purchase companies from one another as record stock market prices make most acquisitions of publicly listed companies expensive.Founded in 1927, Acosta offers marketing services to manufacturers, suppliers and producers of food-related consumer packaged goods. It is projected to have fiscal 2014 revenues of about $1.85 billion, according to Moody's Investors Service Inc.

Shares of CG fell by 0.22% or $-0.075/share to $34.40. In the past year, the shares have traded as low as $24.66 and as high as $39.38. On average, 481748 shares of CG exchange hands on a given day and today's volume is recorded at 123914.