Private equity group 3i has appointed investment bank Baird to oversee the sale of Mayborn Group, parent company of baby products manufacturer Tommee Tippee, according to reports.
A formal sale process could begin soon, while a return to the stock market is a less likely alternative option.
Mayborn is likely to be valued at around £275m including debt by 3i, with several unsolicited approaches made over recent months, Sky News reported.
According to sources, trade buyers in Asia and the US, and other private equity houses, will be approached during the sales process.
Mayborn was bought by 3i and taken private in 2006.
On the buying front, 3i was previously named as a possible frontrunner in the race to do a deal with the Yo! Sushi chain, although the firm has now reportedly been overtaken Mayfair Equity Partners.
Read more: 3i starts to enjoy fruits of turnaround
Companies in 3i's portfolio include Agent Provocateur, Go Outdoors and Hobbs.
The private equity group has been cutting down the number of investments it makes under the leadership of Simon Borrows over the past three years. The firm made nearly £720m in investment returns last year, while the value of its asset portfolio also rose 14 per cent.
When 3i announced the results in May, Borrows said: “The group economics were not working.
“There were too many people in too many offices doing too many things. I have tried to focus the business back to its core.”
Both 3i and Mayborn declined to comment yesterday.