KKR & Co. and CVC Capital Partners are nearing an agreement to buy Philips Lumileds, lighting components unit, a Bloomberg report cited a source saying.

The private-equity firms have offered to buy 80% of Philips Lumileds shares, and the bidding value is estimated to be about 2.5 billion euros ($2.7 billion), said people, who asked not to be named. Philips would retain the remaining shares.

An earlier Reuters report noted rival equity firm Bain Capital might have a chance to make a comeback, but one of the sources has noted the financial firm is no longer in the running at this stage.

A third Asian bidding consortium led by Chinese LED manufacturer Lattice Power has emerged this week, and is rumored to be offering a bidding price 15% higher than KKR and CVC, but it is believed Philips prefers to work with a private equity firm, said one of the sources.

The deal with KKR and CVC could be announced next week, but no final decision has been made, and rivals could still potentially make a comeback, said the sources.