Nov. 5 (Bloomberg) -- Ratiopharm GmbH, the generic-drug maker being sold by Germany’s Merckle family to pay off loans, said the “large” number of bids from strategic and financial investors exceeded its expectations.

VEM Vermoegensverwaltung GmbH, the investment vehicle that controls the Ulm, Germany-based drugmaker, is “very happy” with the prices being offered, Ratiopharm spokesman Markus Braun said in a telephone interview today. He declined to name specific bidders or prices.

Ludwig Merckle is divesting pharmaceutical and cement assets after his father Adolf Merckle, who committed suicide in January, amassed debt and lost money on wrong-way bets on the stock market. VEM managing director Hans-Joachim Ziems will choose a smaller group of investors for further talks in the “coming weeks” and still aims to complete the sale in the first quarter of 2010, Braun said.

Ratiopharm’s goal to be sold in one piece remains a priority and the intention was confirmed by the bids handed in by yesterday’s deadline, Braun said. Selling the drugmaker in parts is still an option, he added.

The Merckle family may struggle to raise as much as 3 billion euros ($4.5 billion) because a decline in Ratiopharm’s home market, where the company competes with Stada Arzneimittel AG and Novartis AG’s Sandoz unit, has reduced the value of the company’s two German brands, people familiar with the plan said in September.

Teva, Sanofi

Israel’s Teva Pharmaceutical Industries Ltd. and Sanofi- Aventis SA as well as Apax Partners Worldwide LLP and Warburg Pincus may consider offers for all of or parts of Ratiopharm, the people said in September.

Founded in 1973, Ratiopharm was Germany’s first generic- drug company. It sells more than 750 versions of branded medicines, including a copy of Bayer AG’s original aspirin painkiller.

The Merckle family is also seeking buyers for drug wholesaler Phoenix Group and Swiss generic-drug maker Mepha Group to help pay off debt.

Ratiopharm lenders Commerzbank AG and Royal Bank of Scotland Group Plc are managing the sale.

To contact the reporter on this story: Aaron Kirchfeld in Frankfurt at akirchfeld@bloomberg.net

Last Updated: November 5, 2009 05:18 EST