CapVest Partners is close to acquiring German drugmaker Stada Arzneimittel AG in a deal worth about €10 billion ($11.7 billion) including debt, according to people familiar with the matter. If finalized, the transaction would end years of stalled sale attempts and mark one of the largest European private equity exits this year.
The London-based buyout firm is finalizing negotiations with Bain Capital and Cinven, Stada’s current private equity owners, and could announce an agreement as soon as Monday. Previous discussions had broken down over valuation disputes, deal structure, and legal liabilities, but CapVest re-entered talks after Bain and Cinven began preparing for a potential IPO of the company.
A successful sale would highlight the pressure private equity firms face to exit long-held investments and return capital to investors. Stada, which Bain and Cinven acquired in 2017 for €5.3 billion, produces consumer health products, generics, and specialty medicines. Its best-known brands include Grippostad cold remedies and Hirudoid cream. The company recently reaffirmed guidance of €930 million–€990 million in adjusted EBITDA and revenues of €4.25 billion–€4.4 billion for the year.
CapVest, which manages about €12 billion, specializes in essential industries such as healthcare and consumer staples. Its portfolio includes Curium, NextPharma, and Voortman Cookies. While the deal is in advanced stages, sources noted it could still collapse, or Bain and Cinven may again turn to an IPO if talks falter.
Source: Bloomberg
