Investor singer prevails against new stada owners

For bain and cinven to access the mdax group’s cash and complete the roughly 5.3 billion euro takeover, they need additional voting rights. Now they comply with singer’s demand, who had asked for a hefty cash settlement for his approval.

The two financial investors announced on sunday evening that they want to pay the remaining stada shareholders, including singer, a compensation of 74.40 euros per share for the conclusion of a control and profit transfer agreement. Singer and his hedge fund elliott jungst had demanded this amount. In their takeover bid for stada, the new owners had offered only 66.25 euros per share.

Bain and cinven plan to hold an extraordinary general meeting to vote on the outstanding contract. They need a majority of 75 percent there to close the deal. Bain and cinven, however, had only secured just under 64 percent of the voting rights when they took over stada in mid august. Singer had therefore increased his stake in stada and, together with elliott, most recently held a total of more than 15 percent of the shares.