Private-equity firm Kohlberg & Co. may not be making sweet music with Steinway Musical Instruments, after all.
An unidentified bidder has topped Kohlberg's $438 million offer by 8.5%, agreeing to pay $38 per share, $3 more than the p.e. firm. The would-be buyer is an affiliate of an investment firm with more than $15 billion in assets, Steinway said.
Kohlberg has three days to match the superior bid for the famed piano-maker.
Kohlberg is led by Kohlberg Kravis Roberts co-founder Jerome Kohlberg. The firm made its $35-per-share offer for Steinway last month.