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Tuesday, August 25, 2015

Tesco gets 3 bids at around $5.9 billion for South Korea unit-source, (NASDAQ: CG)

British retailer Tesco has received three separate binding offers for its South Korean unit from a consortium of Affinity Equity Partners and KKR & Co, Carlyle Group LP, and MBK Partners, people familiar with the matter said. The bids have come in at around the 7 trillion won ($5.9 billion) mark, one of the people said, adding that Tesco is likely to pick a preferred bidder as early as this week. Tesco had set Monday as the deadline for final bids.Homeplus, as Tesco's South Korean unit is called, MBK Partners, KKR, Affinity and Carlyle declined to comment. The people declined to be identified as the sale process is private. The deal is expected to move speedily, with another person having knowledge of the matter saying Tesco and advising bank HSBC could pick the preferred bidder by early September at the latest.

Shares of CG fell by 5.58% or $-1.18/share to $19.98. In the past year, the shares have traded as low as $19.71 and as high as $33.63. On average, 812823 shares of CG exchange hands on a given day and today's volume is recorded at 1482995.