German generic drug manufacturer Stada has been caught in the eye of the storm from activist shareholders since July 2016. This latest takeover bid is the result of a year-long pressure to improve its profitability in areas including transparency, hierarchies, flexibilities and communication processes.
The Financial Times has reported, Stada, has revived a 3.6 billion euro takeover offer Cinven, a private equity group.
Cinven’s offer comes in the wake of its year-long activist campaign to improve profitability for the German generic drug manufacturer whose largest shareholder is Active Ownership Capital (AOC).
The Financial Times has reported citing anonymous people familiar with the matter at hand, Cinven’s buyout offer is pitched at around 58 euros a share.
While Stada wasn’t immediately available for comment, Cinven declined to comment.
FT’s sources have further said, in the bidding war for Stada, Bain Capital, Advent, Permira and CVC are closely monitoring the situation so as to strategically place their individual bids.
In August 2016, Matthias Wiedenfels, Stada’s CEO had promised a more dynamic leadership without changing its core strategy. Wiedenfels had stated that Stada needed to improve its flexibilities, transparency, hierarchies and communication processes.
Active Ownership Capital has placed 4 candidates for Stada’s supervisory board at its AGM, including former Novartis manager Eric Cornut for chairman. Further, it has also supported 2 of the 4 candidates put up by Stada.
In July 2016, Guy Wyser-Pratte, an activist investor having a 3% stake in Stada, had said CVC Capital Partners was interested in buying the generic drug manufacturer. If this were to happen it would be a better plan than AOC’s suggested board overhaul.
Categories: Creativity, Economy & Finance, Entrepreneurship, HR & Organization, Strategy, Uncategorized
manageria.biz 
Leave a comment