The Economic Times said the French dairy giant was set to step in and buy the division which had almost passed into the hands of Abbott Laboratories for €90m in 2009, before Wockhardt investors kyboshed the deal at the last moment in the Indian High Court.
According to The Economic Times Wockhardt recommitted to selling the division this year with Abbott again interested along with Pfizer and Danone.
But Danone refused to comment on the speculation.
Wockhardt is heavily invested in the paediatric sector with brands like Nusobee, Farex, and Dexolac infant formulas, a Farex weaning cereal and a food supplement range for adults called Protinex.