CapVest Seeks to Acquire Majority Stake in Pharmaceutical Company Stada

London-based private equity firm CapVest Partners is in talks with existing shareholders to acquire a majority stake in the German pharmaceutical company Stada Arzneimittel. According to sources, if the deal is completed, Stada's overall valuation (including debt) could reach approximately 10 billion euros.

Currently, Stada’s equity is held by private equity firms Bain Capital and Cinven. According to several sources familiar with the matter, CapVest is in advanced discussions with these two major shareholders to explore specific details regarding the acquisition of control of the company. Previously, Stada had considered an IPO, but due to significant market volatility, the company decided to postpone its listing plans in March 2024.

According to reports, Bain Capital and Cinven's investment banking advisors suggested pausing the IPO process to avoid pushing forward in a turbulent market environment. CapVest declined to comment on the acquisition matter, and Stada has not yet responded to media inquiries.

Stada Arzneimittel is an established pharmaceutical manufacturer in Germany, owning several well-known over-the-counter (OTC) brands, including the cold medicine Grippostad, the sunscreen product Ladival, and the cough suppressant Silomat. In recent years, driven by Bain Capital and Cinven, Stada has accelerated its international expansion, achieving significant growth particularly in the generic and OTC drug sectors.

This potential transaction is not only expected to become one of the larger private equity acquisitions in the European pharmaceutical industry this year but also signifies that Stada may transition from the private equity-driven development model of recent years into a new phase.