HONG KONG Aug 27 Global private equity giant Carlyle Group is in advanced talks with China Vanke Co Ltd, the country's largest developer, to buy stakes in nine of its shopping malls, two sources with direct knowledge of the matter told Reuters.
One of the sources said the deal was valued at between 6 and 7 billion yuan ($976 million to $1.14 billion), while the other said it could be worth up to 10 billion yuan. Neither was authorised to speak to the media.
A non-binding memorandum of understanding could be signed as early as Thursday, both sources said.
Both Carlyle and Vanke declined to comment.
The deal would give Carlyle access to China's commercial real estate market and enable Vanke to generate fast cash returns from commercial properties in a slumping residential market.
($1 = 6.14 Chinese yuan) (Reporting by Clare Jim and Stephen Aldred; Editing by Anne Marie Roantree and)