French retail giant Carrefour S.A. (CA.FR) has entered the bidding to acquire Brazilian small supermarket chain Gimenes, local newspaper Folha de S. Paulo reported Thursday.

Gimenes has received two different proposals by Carrefour and one by local Associacao Ricoy, said the report citing an unnamed source.

Gimenes has 23 units across Sao Paulo, Brazil's largest state. The company, which is Brazil's 22th largest supermarket chain, posted 2008 revenue of BRL423 million.

Carrefour offered 55 million Brazilian reals ($26 million) to acquire 22 units of Gimenes. In addition, Carrefour made another proposal worth BRL46 million to buy 12 units, said the report.

Contacted by Dow Jones Newswires earlier Thursday, officials from the companies were not immediately available for comment.

If it closes the deal, Carrefour will consolidate its lead among Brazilian retailers.

In 2007, Carrefour acquired local wholesale chain Atacadao, surpassing Brazilian grocer Companhia Brasileira de Distribuicao (CBD), or CBD, as the largest Brazilian retailer in terms of revenues.

-By Rogerio Jelmayer, Dow Jones Newswires; 5511-2847-4521; rogerio.jelmayer@dowjones.com