September 19, 2017 / 2:36 PM / a month ago

Hedge fund Elliott says has strategic goals for Stada

FRANKFURT (Reuters) - Elliott, the activist hedge fund founded by Paul Singer, has strategic goals for German generic drugmaker Stada (STAGn.DE) but will not press for boardroom changes, Stada said.

The logo of Stada Arzneimittel AG is pictured at their headquarters in Bad Vilbel near Frankfurt, Germany, August 24, 2017. REUTERS/Ralph Orlowski

“The prevalent aim of the investment is implementing strategic objectives where the sale of the shares shall not be excluded,” Elliott told Stada on Sept. 18, according to a regulatory filing published by Stada on Tuesday.

Stada said that following Elliott’s acquisition of more than 10 percent of the company’s shares, the fund would not seek changes to Stada’s capital structure but planned to acquire further voting rights over the next 12 months.

Bowing to pressure from Elliott, Bain Capital and Cinven offered minority Stada shareholders a marked-up 74.40 euros ($89.08) per share in early September to get full control of the German generic drugmaker.

Reporting by Arno Schuetze; Editing by Christoph Steitz

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