Schneider drops sale of sensors business -sources
PARIS/NEW YORK |
PARIS/NEW YORK Oct 19 (Reuters) - French engineering company Schneider Electric has abandoned plans to sell its CST sensors division for around $1 billion, people with knowledge of the matter said.
Schneider pulled the plug after last-ditch efforts to reach a deal with Carlyle Group and PAI Partners failed, two sources said. They asked not to be identified because the discussions were confidential.
Paris-based Schneider had turned back to the private equity firms last month after exclusive negotiations with Singapore's Avago Technologies broke down, the sources said.
Avago had initially bid close to $1 billion for CST, beating out an $850 million offer from Carlyle and PAI, one of the sources said. The negotiations reportedly foundered on the chipmaker's reluctance to take on all of CST's French plants.
Schneider then renewed talks with the two funds but failed to bridge the price gap, they said.
A Schneider spokeswoman declined to comment.
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