a-share cash offer.
Brunswick is handling financial comms for Schering around the bid.
A merger of the German firms would create a company with a global lead in the market for birth control pills and a range of drugs to treat multiple sclerosis and cancer. The two German companies bear no relation to US groups Merck and Schering-Plough.
Although Merck's offer represented a 15.4 per cent premium on Schering's share price, Schering's board rejected it, claiming the bid undervalued the company.
Cost cutting has helped Schering to beat analyst expectations with a 21 per cent rise in operating profit to £638m in 2005.
Schering is thought to be holding out for a 35 per cent premium, which would value the company at €17.1bn.
Hostile bids of this nature are rare in Germany. But the fact that 70
per cent of Schering is owned by different market players has made it an attractive target.