BASF is in exclusive talks on the sale of its construction chemicals business with private equity firm Lone Star, according to news agency reports, which said a deal could value the business at about €3 billion.

Lone Star beat out a rival consortium that included Cinven and Bain Capital, people close to the matter told Reuters, which also said BASF has confirmed it is talking with only one bidder

Neither BASF nor Lone Star has confirmed the talks.

The German giant kicked off the sale process in January but has failed to attract an industry buyer. BASF had initially hoped to sell the business to Swiss cement maker LafargeHolcim, but the two could not agree terms. Reports said LafargeHolcim considered the asking price too high.

BASF bought the construction chemicals business from Degussa in 2006 for €2.7 billion, including €500 million of debt. The business supplies mortars and cement additives, as well as waterproofing materials and sealants under the Master Builders brand.