Stryker considers takeover of Smith & Nephew

New York – According to a report in Bloomberg, one of the people familiar with the matter was cited as saying that Stryker is planning to make an offer in the next few weeks.

A significant premium will be offered by Stryker to Smith & Nephew's share price, possibly in the range of 30%.

Both companies' representatives declined to comment on the takeover offer.

US-listed shares of Smith & Nephew rose 9.3% to $38 during late afternoon trading on the New York Stock Exchange, while Stryker shares were up 1.9% at $96.81, Reuters reported.

Smith & Nephew manufacture products for arthroscopy, wound management, trauma and clinical therapy, as well as orthopedic reconstruction. The company markets its products in 90 countries.

Smith & Nephew acquired surgical devices business Oratec Interventions for $310m in 2002. It also acquired Swiss orthopedics business Plus Orthopedics for $889m in 2007.

Stryker provides a diverse array of medical technologies, including reconstructive, medical, and surgical, as well as neurotechnology and spine products, which are available in more than 100 countries worldwide.

Source: Bloomburg