Tesco picks private equity firm MBK as preferred bidder for S.Korean unit-sources

SEOUL/HONG KONG, Sept 2 (Reuters) - British retailer Tesco PLC picked private equity firm MBK Partners as preferred bidder to buy its South Korean unit, two people with direct knowledge of the matter said on Wednesday.

Tesco (Xetra: 852647 - news) had received three separate binding bids for the South Korean unit in August, called Homeplus, valued at around $6 billion. The bidders were Affinity Equity Partners together with KKR & Co, Carlyle Group LP, and MBK Partners, one of the largest Asia-based private equity firms, people familiar with the matter previously told Reuters.

The people declined to be identified as the sales process was private. Spokesmen for Tesco's South Korean unit and MBK declined to comment. (Reporting by Joyce Lee and Kane Wu; Editing by Muralikumar Anantharaman)