Does Medtronic’s Match With Covidien Leave Smith & Nephew Solo? (WSJ Blog)
Smith & Nephew SN.LN -0.47% PLC has missed out on the bouquet again. Shares in the London-listed, Dublin-based maker of replacement joints dipped around 2% in morning trading Monday, after U.S. pacemaker specialist Medtronic Inc.MDT -1.12%said it was buying Smith & Nephew’s Dublin-based rival Covidien COV +16.98%PLC for $42.9 billion.
That removes a potential suitor for Smith & Nephew, which as a small player in a consolidating market has long been touted as a takeover target. Shares in the artificial joint maker have risen more than 20% this year on rumors of takeover interest, and with Medtronic out of the picture, the field has narrowed.
Still, Medtronic wasn’t the only eligible match. Stryker Corp.SYK +1.40%—another U.S. artificial-joint manufacturer—said last month it was in the preliminary stages of evaluating a deal for Smith & Nephew but didn’t intend to make a formal offer. Under U.K. takeover rules, Stryker is now prevented from making a bid until November, but can return sooner if a rival bidder emerges.
A number of companies that were looking at a deal to buy S&N rival ...
