UK blue chip medical devices company Smith & Nephew has rejected a £7bn takeover bid by its US counterpart Johnson & Johnson.
Johnson and Johnson is thought to have bid 750p per share for Smith & Nephew – the London headquartered FTSE 100 company which specializes in hip and knee replacements and employs just shy of 10,000 people globally.
Analysts said Smith & Nephew’s true value could stand at over £10bn and that Johnson & Johnson – considered to be cash rich – could now make a bigger offer.
Smith & Nephew’s share price rose 13.9 per cent to 739p as a result of the news.
