FRANKFURT, Oct 17 (Reuters) - German healthcare group Fresenius as well as buyout groups PAI and Permira are exploring an acquisition of the medical nutrition business of Danone after efforts of U.S. drugmaker Hospira to buy the unit failed, people familiar with the matter said.
The business, which sells products to feed people that are ill, may reap a valuation of 4 to 5 billion euros (6.38 billion US dollar), money that the French group could use for a potential acquisition of U.S. baby formula maker Mead Johnson Nutrition Group, sources familiar with the matter told Reuters.
Danone, Fresenius, PAI and Permira declined to comment.
1 US dollar = 0.7835 euro Reporting by Arno Schuetze. Addiontional reporting by Sophie Sassard. Editing by Jane Merriman