Aug. 14 (Bloomberg) -- Electrolux AB, the Swedish maker of AEG stoves and Frigidaire refrigerators, said it’s in talks to buy General Electric Co.’s home-appliances business.
No agreement on a purchase of the century-old unit has been reached, Stockholm-based Electrolux said in a statement.
The GE division has drawn interest from both Electrolux and Quirky Inc., a consumer-product development startup, according to two people with knowledge of the matter. The unit may fetch about $2 billion in a sale, the people said.
GE recently decided to try to sell the appliances unit as Chief Executive Officer Jeffrey Immelt focuses on industrial operations, according to the people. The sale process is GE’s second attempt to offload the Louisville, Kentucky-based division, which introduced an electric toaster in 1905 and a home electric washing machine in 1930.
Electrolux last year generated about 28 percent of sales from the U.S. The appliance market there is anticipated to grow by 4 percent this year, Electrolux said July 18.
Acquisitions are “part of the toolkit,” CEO Keith McLoughlin said in an interview in London June 19.
Electrolux last announced a deal in 2011 when it bought Compania Tecno Industrial SA for about $690 million to become the largest supplier of appliances in Chile and Argentina.
To contact the editors responsible for this story: Celeste Perri at email@example.com Paul Jarvis, David Risser