Sara Lee said to be near deal with Grupo Bimbo

Sara Lee Corp. is near an agreement to sell its North American bakery business to Grupo Bimbo SAB, the world's largest bread maker, for $900 million to $1 billion, according to two people with knowledge of the bidding.

A sale of the unit, which includes the largest fresh-bread brand in the U.S., may be announced as soon as this week, said these people, who declined to be identified as the process isn't public. A deal could be delayed or fall through in late stages. Sara Lee is scheduled to report quarterly earnings on Nov. 10.

Sara Lee had sought more than $1 billion for the bakery unit in October, down from about $1.5 billion when it first began to explore a sale a few months earlier, people familiar with the matter said last month. A final agreement was slowed in recent weeks over debate about price and some labor costs, said one of the people.

Bimbo emerged as the likeliest buyer after earlier interest waned from New York-based Ripplewood Holdings, the owner of Wonder Bread maker Interstate Bakeries Corp., the people said last month. The sale of the business accelerates a broader overhaul of Sara Lee, which is focusing on brands such as its Jimmy Dean meats.

Monica Breton, a spokeswoman for Grupo Bimbo, declined to comment, and Downers Grove-based Sara Lee couldn't be reached for comment. Sara Lee's stock has risen 21 percent this year, while Bimbo has gained 9.7 percent.