An Ethos Private Equity-led consortium is in exclusive talks with South African casino operator Gold Reef Resorts with a R9.85 billion ($1.4 billion, €1 billion) bid, according to a statement issued by Gold Reef.
The 34 rand per share offer implies an enterprise value at the company of R11.6 billion, it said.
An Ethos spokesperson said 76 percent of shareholders had backed the offer irrevocably.
Gold Reef operates the Gold Reef City theme park and casino in Johannesburg as well as other casinos and hotels around the country.
This latest example of the private equity industry in South Africa comes a week after buyout firm Pamodzi closed the largest ever fund on the continent at $1.4 billion.
Ethos has also raised the country’s previous largest fund with R5.5 billion in commitments.
Bain Capital bought Edcon for $3.5 billion in February this year and Actis took Alexander Forbes private for $1.2 billion after a protracted bidding process in June.