* GE unit could be worth $2-$2.5 bln - sources
* GE in talks with Electrolux and other parties - sources
STOCKHOLM Aug 14 World number two home
appliances maker Electrolux said on Thursday it was
in talks to buy General Electric's household appliances
People familiar with the matter had said earlier in the day
that GE was in talks with the Swedish group and other parties to
sell the unit.
"AB Electrolux today confirmed that it is in discussions
regarding a possible acquisition of the appliances business of
GE. No agreement has been reached," Electrolux, a smaller rival
to Whirlpool, said in a statement.
GE's home appliances business, which sells products under
the GE Monogram, GE Cafe and Hotpoint brands, could be worth
between $2 billion and $2.5 billion, the sources said.
The U.S. diversified conglomerate is trying to sell its home
appliances unit as Chief Executive Jeffrey Immelt seeks to
allocate resources to higher-growth businesses.
Bloomberg News earlier reported that GE's appliances unit
had drawn interest from Electrolux and consumer development
Electrolux, which sells under brands such as Frigidaire, AEG
and Zanussi as well as its own name, declined to comment
Representatives for GE did not immediately respond to
requests for comment.
Electrolux last month posted better quarterly profits than
expected and stuck to forecasts for growth in its home region
Europe, after years of gloom, and in the United
(Reporting by Anna Ringstrom in Stockholm and Christine Murray
and Soyoung Kim in New York; Editing by Erica Billingham)