China XD Said in Talks to Buy GE’s Prolec Joint Venture

China XD Group, a state-controlled power equipment maker, is in talks to buy General Electric Co.’s joint venture with Mexico’s Xignux SA for as much as $1 billion, said three people with knowledge of the matter.

XD Group’s discussions to acquire Prolec GE Internacional are at an early stage, said one of the people, who asked not to be identified because the information is private. GE owns 49.99 percent of Prolec GE, according to a May 2012 statement by XD Group’s listed unit China XD Electric Co.