U.S. investor Lone Star is nearing a deal to buy Continental's XETR:CON ContiTech plastics and rubber business for around €4 billion ($4.6 billion), two people familiar with the matter said.

Continental declined to comment on the news, which was first reported by newspaper Boersen-Zeitung.

Lone Star had no immediate comment.

($1 = 0.8737 euros)