Stryker will not buy Smith & Nephew for at least 6 months

stryker logo 2sn 2Stryker denies planning Smith & Nephew bid (press release)

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U.S. medical devices manufacturer Stryker Corp SYK.N has denied any intention of making a bid for UK rival Smith & Nephew Plc SN.L, whose shares had spiked higher after a report that Stryker was planning a bid.

“At the request of the UK Takeover Panel, Stryker confirms that it does not intend to make an offer for Smith & Nephew,” Stryker said in a statement on Wednesday, referring to the regulatory body in charge of takeovers in Britain.

Smith & Nephew shares had earlier jumped 17.5 percent to a record high of 1,120 pence, but the shares lost ground after Stryker’s denial to be up just 2.3 percent by 9:35 am ET (1335 GMT.)

Trading volume in Smith & Nephew shares also surged, coming in at four times the stock’s three-month daily average.

The Financial Times had earlier reported on its website that Stryker was preparing a bid for Smith & Nephew, adding any offer would likely be some way above the London-based group’s stock market value.

Analysts have frequently speculated Smith & Nephew may attract takeover interest. In 2010, Johnson & Johnson JNJ.N approached Smith & Nephew on a possible offer, according to people familiar with the ma

(Additional reporting by Sudip Kar-Gupta, Vikram Subhedar and Sarah Young; Editing by Keiron Henderson and David Holmes)

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