Deals
Stada Said to Plan Hike to Profit Guidance to Increase Bids
- Management canceled presentations to bidders this week
- Board said the current bids don’t reflect Stada’s value
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Stada Arzneimittel AG’s Chairman Carl-Ferdinand Oetker, navigating a bidding war for the German drug company, hit the brakes on deal negotiations this week and is driving management to cut costs and raise profit guidance as he maneuvers for higher offers, people familiar with the matter said.
Oetker has urged his top executives to consider more aggressive steps to improve performance, people familiar with the matter said, asking not to be identified because the deliberations are private. The company could increase profit guidance when it reports annual results next Thursday, weeks after it said this year’s earnings may climb as much as 11 percent to 450 million euros ($483 million), they said.