BERLIN: A family-owned German company is poised to take over Continental AG, maker of tires and automotive components, according to a report released Sunday.

Herzogenaurach-based Schaeffler KG, maker of automotive components, was planning to take over the publicly traded giant, valued at 9 billion (US$14.25 billion), the Frankfurter Allgemeine Zeitung reported.

Neither company would comment on the report. "We can not comment on this report," Continental spokesman Hannes Boekhoff said.

According to the paper, Schaeffler has already organized the necessary funding and concrete discussions on the plan took place over the weekend.

Hannover-based Continental reported a 38 percent drop in first-quarter earnings earlier this year, worth 166.8 million (US$264.1 million).