Stada Investor ‘Shenanigans’ Risk Derailing Deal For Second Time

Stada Arzneimittel AG’s takeover by two private-equity suitors risks falling apart a second time in as many months unless investors shake off their complacency and tender more shares ahead of a make-or-break deadline next week, the bidders’ proxy adviser said.

“There are a significant number of rumors and Chinese whispers circulating” about the volume of shares that need to be submitted, solicitation firm Georgeson said in an email sent to investors Thursday that was seen by Bloomberg. “A reduced number of acceptances this time round (given the summer holidays), the high number of passive holders that will do little or nothing and the excessive levels of borrow for your fancy back-end shenanigans leaves little room for error.”