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(Reuters) - Sealed Air Corp (SEE.N) is in exclusive talks to sell its cleaning and chemicals systems division, Diversey Care, to private equity firm Bain Capital LLC for between $3 billion and $4 billion, people familiar with the matter said on Monday.
The deal would allow Sealed Air to focus on its high-margin food, product and medical packaging operations by shedding a hygiene and cleaning solutions division that it no longer sees as core to its business.
Sealed Air could announce a deal with Bain before the end of March, the people said. If negotiations were to break down, Sealed Air would revert to its previous plan to spin off Diversey, the people added.
The sources asked not to be identified because the negotiations are confidential. Sealed Air and Bain did not immediately respond to requests for comment.
Based in Charlotte, North Carolina, Sealed Air's portfolio includes the Cryovac food packaging brand and brand cushioning Bubble Wrap. It has a market capitalization of $8.7 billion.
Diversey's business comprises floor care machines, tools, chemicals and services.
Corporate carve-outs of unloved businesses remain popular with firms such as Bain. They attract fewer private equity firms because of their complexity, making auctions for them less competitive.
Reporting by Greg Roumeliotis in New York