Bain Capital and Cinven are speaking with investors – mainly with hedge funds – about the terms of a potential new offer for German generic drug maker Stada (STAGn.DE) after its first tender offer fell through, people close to the matter said.
Before launching a new offer, however, Bain and Cinven want irrevocable commitments from investors that they will tender their shares, the people said.
Cinven declined to comment, while Bain was not immediately available for comment.
Any new offer launched within a year would need recommendation from Stada’s executive and supervisory boards and approval by financial watchdog Bafin.
Under Bain and Cinven’s previous offer, investors representing only 65.52 percent of Stada’s equity capital agreed to sell their shares, missing a 67.5 percent threshold.
The sources said that hedge funds held back some of their shareholdings, speculating on securing a higher price for any remaining shares after a successful initial tender offer.