FRANKFURT, May 7 (Reuters) - German drug manufacturer

Stada could return to the stock market as soon as after the

summer if bids are not high enough in a possible sale sought by

its owners, three people familiar with the matter told Reuters.

The alternative option of an initial public offering in

Frankfurt is already in preparation by private equity

shareholders Bain Capital and Cinven, though a final decision on

timing is dependent on market conditions, the people said.

In the event of a sale, private equity firms CVC Capital

Partners, KKR and Clayton Dubilier & Rice are

expected to be among the most likely parties to submit offers

for the business, the people said.

Stada's management and owners began meetings with investors

in early April and will collect and make a decision on bids

before the summer, the three people said, speaking on condition

of anonymity.

Bain and Cinven have also yet to decide how much of their

stakes they want to sell, the people said. They are hoping to

achieve a valuation of as much as 10 billion euros ($10.77

billion) for Stada in an exit, two of the people said.

Stada, Bain, Cinven, CD&R, CVC and KKR declined to comment.

In 2023, Stada's earnings before interest, taxes,

depreciation, and amortization, or EBITDA, rose 19% to 802

million euros, according to a release on its website.

Last December, Stada spun off its Russian operations as a

separate business, a step seen as necessary before selling the

company, two of the people said.

Bain and Cinven acquired Stada in 2017 for 5.3 billion

euros, taking the company private. The company, founded in

Dresden in 1895 and now based in Bad Vilbel near Frankfurt,

sells prescription pharmaceuticals and over-the-counter health

products.

($1 = 0.9282 euro)