CVC is facing a shareholder revolt over its attempt to take Milan-listed pharmaceutical group Recordati private at €51.29 per share, valuing the company at about €10.7bn. Six minority shareholders, including activist investor Palliser Capital, oppose the offer, calling it an unfairly low valuation that pressures investors to sell. All four independent directors of Recordati’s board have opposed the take-private, stating the offer price is inadequate and places undue pressure on shareholders.

CVC, which has owned Recordati since 2018 after paying €3.03bn for the family’s holding company, has sought to exit the investment for five years. The firm attributes the modest 13% premium to Recordati’s complex structure and risks to its blockbuster drug. Recordati’s rare diseases franchise, with strong US growth potential, is seen as a key upside investors believe CVC aims to capture post-take-private.

CVC plans to proceed even if it fails to reach the 90% threshold for squeeze-out, potentially reshaping the board or pursuing a block sale. Groupe Bruxelles Lambert is a co-investor in the offer.