GE and AIP could announce a deal for the unit, which is known as Current, Powered by GE, as early as this week, said the people, who asked to not be identified because the matter is not public. The deal has not been finalized and could still fall through, they said.
A representative for GE declined to comment. AIP, a New York-based private equity firm, did not immediately respond to requests for comment.
Current offers energy consulting services to businesses and municipalities that help them control and lower their power costs by digitally managing their lighting systems. It is part of GE's lighting unit, a division that includes a consumer light bulb business that GE is also in the process of selling.
The Boston-based company has announced at least USD 10 billion in asset sales over the last 12 months, including its century-old rail business in May. The company sold the bulk of its international and automotive lighting businesses earlier this year.