HONG KONG/MELBOURNE-China's Bright Food Group is in advanced talks to buy Australian branded food business Manassen Foods from CHAMP Private Equity, two sources with direct knowledge of the matter told Reuters on Monday.

If successful, the deal would mark Bright Food's first major overseas acquisition after missing out on some large deals in its past few attempts. Despite the setbacks, Bright Food was keen to expand into overseas markets to grow its dairy, sugar, wine, food industry and agriculture businesses among others, a company spokesman said last week.

Manassen Foods, which was acquired by CHAMP in 2006, owns Sunbeam and Angus Park dried fruits and Margaret River Dairy. The deal value could not be immediately ascertained, but Food Holdings Pty, the parent of Manassen Foods, had earnings before interest, tax, depreciation and amortisation of A$50.4 million ($54 million) for the 12 months ended June 2010.

Established in 1953, the company owns an array of brands in bakery, biscuits, grocery and confectionery segments, according to its website.

The Shanghai-based Bright Food has been actively looking for acquisitions overseas to boost its profile and cater to a rapidly growing domestic market. However, it has been unsuccessful so far with a string of failed bids that includes CSR's sugar business and French yoghurt maker Yoplait.

Bright Food, which makes the famous "White Rabbit" candy, was also reportedly in talks to buy US nutritional retailer GNC and Britain's United Biscuits, but talks fell apart over pricing, terms and uncertainty over regulatory approval.

Last year, the Shanghai-based company bought a controlling stake in New Zealand's Synlait Milk.

Last week, Bright Food denied a report that the company was considering a bid for Treasury Wine Estates Ltd, which was spun off from Foster's Group Ltd.

Bright Food and CHAMP declined to comment. Sources declined to be identified because the discussions were private.

Nomura Holdings is advising Bright Food, while UBS and Bank of America Corp are advising Manassen.