US private equity firms Carlyle, KKR and Warburg Pincus could buy a stake of between 15% and 18% in India's motorcycle maker Hero Honda Motors (BOM:500182), the Economic Times said Monday citing unnamed sources. According to the paper, the transaction would be part of a two-stage deal, which could end up with Japanese Honda Motor (TYO:7267), which owns 26% of Hero Honda, exiting the Indian company. As part of the plan, Hero is currently in advanced talks with the investments firms to sell them 60% to 70% in a special purpose vehicle (SPV), which will acquire Honda's entire stake in Hero Honda with bridge loans. If the deal is successful, the Hero group will control up to 36% of Hero Honda, while the buyout funds will control up to 18% indirectly. Honda, Hero and KKR were unavailable for comment, while Warburg Pincus and Carlyle declined to comment. […]