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Thursday, November 25, 2010

Del Monte to be bought by KKR-led group - source

KKR-led consortium to pay $19 a share - source

* Deal announcement expected on Thursday - source

NEW YORK/PHILADELPHIA, Nov 25 (Reuters) - A group led by Kohlberg Kravis Roberts & Co (KKR.N) plans to acquire Del Monte Foods Co (DLM.N) for about $19 a share, or more than $5 billion, including debt, a source familiar with the situation said.

An announcement is expected later on Thursday, said the source, who declined to be identified by name because the talks were not public.

Vestar Capital Partners and a fund run by Centerview partner James Kilts will join KKR in the deal, which ranks as one of the largest U.S. leveraged buyout of the year.

Del Monte, the maker of Meow Mix cat food, Milk-Bone dog biscuits and canned vegetables, could not be immediately reached for comment. (Reporting by Megan Davies in New York and Jessica Hall in Philadelphia; Editing by Andrew Hay) (For more M&A news and our DealZone blog, go to here)

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