International media today quoted sources close to German drug maker Ratiopharm GmbH, which the Merckle family has put up for sale, along with other assets, following the suicide of Adolf Merckle in January.
Ratiopharm is a private company with 5,600 employees and had €1.9 billion in sales in 2008. It is Germany's largest generics pharmaceutical company and the fourth largest in the world, which led to the name of Teva Pharmaceutical Industries Ltd. (Nasdaq: TEVA; TASE: TEVA), the world's largest generics pharmaceutical company, being mentioned as a possible buyer for the company. Sanofi-Aventis SA (NYSE: SNY; Euronext: SAN) is also mentioned as a possible buyer.
The asking price for Ratiopharm is reportedly €3 billion, and sources believe that Apax Partners LLC and Warburg Pincus may bid for the company. Both investment firms have ties to Israel. Apax, which has $40 billion in assets under management, is a controlling shareholder in Tnuva Food Industries Ltd., among other companies. Warburg Pincus, which has $29 billion in assets under management, owns Alliance Tire Co. Ltd. through Warburg Mergers (2007) Ltd.
One source said that private equity firm TPG Inc., which has $50 billion in assets under management, may also bid for Ratiopharm.
Published by Globes [online], Israel business news - www.globes-online.com - on May 20, 2009
© Copyright of Globes Publisher Itonut (1983) Ltd. 2009