Stada dives as 5.3b euro bid fails to lure enough shareholders

Paris

STADA Arzneimittel AG shares dropped the most in a year after the German generic-drug maker's planned 5.3 billion-euro (S$8.3 billion) sale to two buyout firms fell apart as a small group of investors held out for a better deal.

Only 65.5 per cent of the shares were tendered in Bain Capital and Cinven's offer by the deadline on Thursday, Bad Vilbel, Germany-based Stada said in a statement late on Monday. The suitors were seeking pledges of 67.5 per cent. The two firms said they'll return any stock received to shareholders. The shares dropped 4.4 per cent to 59.05 euros at 10.54 am in Frankfurt after falling as much as 8.6 per cent.