U.S. private equity funds Cerberus Capital Management LP and Oaktree Capital Group Holdings GP LLC submitted a binding buyout bid for real estate company SDIn, Reuters reported, citing a source with knowledge of the matter.

The business, owned by Spanish bank Banco de Sabadell SA, owns a portfolio of foreclosed assets, which primarily consists of land and real estate developments with a gross value of about €1.3 billion, the report noted.

The bank's board is expected to review the offer May 30, one of the sources said. The decision to sell SDIn may not be made until June, the person added. A second source affirmed that Cerberus has offered to acquire the unit.

Cerberus, Oaktree and Banco Sabadell did not comment on the matter, according to the report.