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) (Reporting by Emma-Victoria Farr and Andres Gonzalez, additional reporting by Patricia Weiss; editing by Anousha Sakoui and Jonathan Oatis)