CVC wants bigger slice of MFS, say sources

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MFS Ltd may have to sell a greater share than it had intended to if a deal is to be agreed.

Insiders told Goldcoast.com.au that a deal with CVC Asia Pacific may go through, providing MFS is willing to offer a greater portion of the company.

MFS is hoping that by selling its Stella Resorts asset, the fundraising will help offset some of the damage it has incurred following the credit crunch.

CVC Asia Pacific walked away from an agreement to buy 50 per cent of shares last year - and it could now exploit MFS' weaker position by pushing for more shares.

MFS refused to comment on the report. The company announced this week that it has spoken to "at least two interested parties".

An agreement with an investor could be made in the next two weeks, as the company looks to restructure its finances.