Stada says Thornton & Ross deal would not stretch finances
FRANKFURT Aug 8 (Reuters) - German generic drugmaker Stada said the planned purchase of British over-the-counter drug manufacturer Thornton & Ross would lift its net debt to core earnings multiple only slightly.
Net debt stood at 3.2 times earnings before interest, taxes, depreciation and amortisation (EBITDA) at the end of June and any increase from the deal would soon be reversed due to the target company's profitability, Stada finance chief Helmut Kraft said at a press conference on Thursday.
Stada on Tuesday said it was entering exclusive talks to buy Thornton & Ross, which has annual EBITDA of about 20 million euros ($27 million). It did not say how much it expected to pay for the company.