01:25 PM EDT, 09/03/2025 (MT Newswires) -- Goldman Sachs' ( GS ) Asset Management unit, KKR (KKR), PSP Investments, and Arcmont Asset Management are part of a lending group providing about 1.4 billion euros ($1.6 billion) in payment-in-kind debt to finance CapVest Partners' acquisition of German pharmaceutical company Stada Arzneimittel, Bloomberg reported Wednesday, citing people familiar with the matter.

CapVest Partners said Monday it signed a deal to acquire a majority stake in Stada from Bain Capital and Cinven, with the two private equity firms to retain a minority stake in the company. CapVest didn't disclose the terms of the transaction, but Bloomberg said CapVest valued Stada at roughly 10 billion euros ($11.7 billion), including debt.

Payment-in-kind debt is viewed as riskier than traditional junk bonds because it lets borrowers delay interest payments until maturity, and is increasingly being used in European buyouts and refinancings, the report said.

The Stada acquisition represents CapVest's biggest deal to date, according to the report.

Goldman Sachs ( GS ) shares fell 0.6% in recent Wednesday trading, and KKR declined 2.9%.

Goldman Sachs ( GS ) and KKR didn't immediately respond to a request for comment from MT Newswires.

(Market Chatter news is derived from conversations with market professionals globally. This information is believed to be from reliable sources but may include rumor and speculation. Accuracy is not guaranteed.)

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