3i Group has cut its stake in IT consultancy Morse Group PLC (LSE: MOR) from around 15 percent to less than 3 percent, according to a regulatory filing.

American Greetings Corp. (NYSE: AM) has received bankruptcy court approval to acquire bankrupt rival Recycled Paper Greetings Inc. The deal has been strongly opposed by Monitor Clipper Partners, which bought Recycled Paper in 2006.

China Development Bank

is considering a buyout of Shenzhen Development Bank, according to local media reports. As of June 2008, Newbridge Capital held a 16.76 percent stake in publicly-traded SDB.

Corpak MedSystems has sold selected assets of its Stackhouse division, which makes surgical helmet filtration and smoke evacuation systems, to Ecolab Inc. for an undisclosed amount. Corpak is a portfolio company of Linden LLC.

CVC Capital Partners has hired UBS to sell the oncology and cardiology diagnostic unit of Australian medical imaging company I-Med. The deal is expected to be worth around A$200 million ($128 million), with I-Med using proceeds to pay down debt.

Golden Gate Capital has sold its 22.3 percent stake in United Kingdom enterprise software company Micro Focus International (LSE: MCRO), for approximately £117.1 million ($166.4 million). UBS handled the placement.

Inflexion Private Equity has sold CHKS Ltd., the UK division of Healthcare Knowledge International (HKI), to Capita Group PLC. No financial terms were disclosed. Inflexion originally acquired HKI, a European provider of benchmarking performance and analysis, in April 2004.

Metalmark Capital has completed its sale of Direct Response Corp. to an affiliate of Unitrin Inc. (NYSE:UTR) for approximately $200 million. The original deal value had been valed at around $220 million. Direct Response is a Meriden, Conn.-based seller of personal automobile insurance.

Scottish Re Group Ltd. (OTC BB: SKRRF) has completed the sale of its ING individual life reinsurance business to Hannover Ruckversicherung AG. No financial terms were disclosed. Scottish Re raised $600 million from Cerberus Capital Management and MassMutual Capital Partners in late 2006, via a placement of convertible preferred shares.

Waterbury Companies Inc., a portfolio company of Wind Point Partners, has sold its CB Professional Products line of insect control products to FMC Corp. (NYSE: FMC). No financial terms were disclosed.