(Releads with Stryker denial)
By Francesco Canepa and Sudip Kar-Gupta
LONDON May 28 U.S. medical devices manufacturer
Stryker Corp has denied any intention of making a bid
for UK rival Smith & Nephew Plc, 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 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
Analysts have frequently speculated Smith & Nephew may
attract takeover interest. In 2010, Johnson & Johnson
approached Smith & Nephew on a possible offer, according to
people familiar with the matter.
($1 = 0.5952 British Pounds)
(Additional reporting by Sudip Kar-Gupta, Vikram Subhedar and
Sarah Young; Editing by Keiron Henderson and David Holmes)