WSJ: Carlyle Group Nears Deal To Buy Tyco's South Korean Unit

(RTTNews) - Private equity giant Carlyle Group LP (CG) is nearing a deal to buy Swiss security products maker Tyco International Ltd.'s (TYC) South Korean home security unit, the Wall Street Journal reported Tuesday, citing people familiar with the matter.

According to the WSJ report, a deal likely to be valued at $1.5 billion or more, could be announced this week.

The South Korean home security unit, known as ADT Caps was established in 1971. The unit provides central monitoring services, access control, video surveillance, and other integrated security solutions.

Tyco first bought a 68.5 percent stake in ADT Caps in 1999 and delisted it from Korea's Kosdaq stock market after acquiring the remaining stake later that year.

Tyco put up the unit for sale in 2013, attracting bids from several private equity firms like Carlyle Group, KKR & Co. LP (KKR), Bain Capital, CVC Capital Partners, South Korea's MBK Partners and Hong Kong-based Affinity Equity Partners.

Assets in South Korea are reportedly seen as attractive by private equity giants as they can take full control of these assets, unlike in some other Asian markets where the bids could run into political opposition.

CG closed Tuesday's trading at $37.85, up $0.01 or 0.03 percent on a volume of 688,626 shares.

TYC closed Tuesday's trading at $42.45, down $0.10 or 0.24 percent on a volume of 4.06 million shares. In after-hours, the stock further declined $0.02 or 0.04 percent to $42.43.