Tyco (NYSE:TYC) May Get Bid from Schneider Electric (SU.PA)

Shares of Tyco International Ltd (NYSE:TYC) is considered a potential takeover target by Schneider Electric (SU.PA), which said it was thinking about making a bid on the company, although they're in the early stages of the process, saying there is no deal on the horizon at this time.

Tyco would expect to bring a high premium from Schneider because of a possible bidding war from rivals like Honeywell (NYSE:HON), United Technologies Corp (NYSE:UTX) or Siemans, and other probable suitors. The company could attract an initial bid as high as $65 a share.

Measured by market capitalization, Schneider is about twice the size of Tyco, valued at about $46 billion versus Tyco's $23 billion.

Tyco was trading at $48.76, gaining $1.61, or $3.41 percent, as of 12:57 PM EDT. Schneider was trading over the counter (OTC:SBGSY.PK) at $16.90, falling $0.59, or 3.37 percent.