Investment firm HSG moved into pole position to acquire Blackstone's 45% stake in Leica Camera, with discussions potentially valuing the premium camera maker at €1bn ($1.2bn). HSG may pursue a public listing of the business, which would mark Leica's return to public markets after the Kaufmann family took it private in 2012.

For Blackstone, an exit would return value on an investment in one of Europe's most recognizable luxury manufacturers with 150 years of history. The Leica I camera effectively launched 35mm photography in 1924, establishing the brand's enduring legacy in premium imaging equipment.

The deal fits a broader pattern of foreign capital, much of it from Asia and the Gulf, investing in marquee European consumer brands. HSG acquired premium sneaker maker Golden Goose last year and took a majority position in Marshall Group, while Singapore's Temasek increased its stake in Italian fashion house Ermenegildo Zegna to 10%.