A private equity takeover of Siemens’ hearing aids business for up to €3bn ($4.5bn) would be the largest European buyout for two years; representing the latest in a number of potential top-end buyouts, indicating that confidence may be creeping back into the alternatives market.

UK buyout firm BC Partners and US firm Kohlberg Kravis Roberts have expressed an interest in the German business, Bloomberg reported today, in a process that could be worth between €2.5bn and €3bn.