Private equity firms Bain Capital and Cinven have jointly agreed to takeover Stada Arzneimittel AG, the Germany-based generic drug maker, in a € 4.1 billion bid.
Bain and Cinven have offered the shareholders of Stada a cash consideration of € 65.28 per share plus the 2016 dividend in the amount of € 0.72 per share as proposed by the management board of Stada resulting in a total offer value of € 66.00 per share. This offer represents an attractive premium of 48.9 percent over the closing price of 9 December 2016, the last trading day prior to the first specific rumours about a potential takeover of Stada appearing.
The offer estimates Stada’s equity value at approximately € 4.109 billion and the company's value at about € 5.318 billion.
“Our negotiating strategy over the last few weeks was very successful: We are very pleased that we have been able to increase the transaction value from approximately € 4.7 billion to more than € 5.3 billion by € 7.28 per share and have now reached the best offer for our shareholders. The offer of Bain Capital and Cinven contains the most attractive overall combination. In addition to the highest price we were able to reach comprehensive protection provisions especially for our employees and to initiate a future-oriented growth strategy,” said Ferdinand Oetker, chairman of the supervisory board of Stada Arzneimittel AG.
Stada offers a comprehensive portfolio of high-quality, low-cost generic products including selected biosimilars. The company has also built an attractive portfolio of well-established branded products, including the cold medicine Grippostad and the Ladival range of sun protection products. In 2016, Stada achieved adjusted group sales of € 2.167 billion, and adjusted net income of € 177.3 million.
