Goldman, KKR Among Lenders of €1.4 Billion PIK Debt for Stada

Goldman Sachs Asset Management and KKR & Co. are among lenders providing around €1.4 billion of one of the most expensive types of debt to back CapVest Partners’ acquisition of a majority stake in German drugmaker Stada Arzneimittel AG.

Canadian pension fund PSP Investments and London-based Arcmont Asset Management are also among lenders, according to people familiar with the matter, who asked not to be identified because the matter is private. The group is putting up €1.4 billion ($1.6 billion) in payment-in-kind debt, they said.

PIK allows issuers to delay interest payments until the final maturity date, and is ...