Ratiopharm on the Block; VEM Prefers Whole Sale

Ludwig Merckle, son of the late German billionaire Adolf Merckle, has begun shedding assets in an attempt to raise capital to pay down debt. Among the assets being disposed of is German generic drug manufacturer Ratiopharm GmbH. VEM, Merckle’s main investment vehicle, is responsible for conducting the sale which has attracted plenty of potential buyers including Mylan, Sanofi-Aventis, and Teva.

While VEM and Merckle prefer to sell Ratiopharm GmbH as a single unit, they are prepared to divide it up if the market warrants. No deal is expected to be finalized before spring 2010.

Ratiopharm GmbH (www.ratiopharm.de)
Based in Ulm, Germany Ratiopharm is a drug maker producing generics and biosimilars for markets in 34 countries worldwide. The company produces 750 different prescription and over-the-counter products equating to more than 550 million units sold annually. Ratiopharm’s 2008 revenue reached EUR 1.9 billion on turnover of EUR 840 million. With operations in Germany and 24 other countries, the company employs more than 5,500 people.