Smith & Nephew shares rocket 11% on takeover report

10th January 2011, Comments 0 comments

Shares in British pharmaceuticals firm Smith & Nephew surged on Monday when investors seized on a weekend report of a potential takeover approach from US cosmetics and drugs giant Johnson & Johnson.

In morning deals, the British group's share price rocketed by 11.62 percent to 725.5 pence, topping London's FTSE 100 index of leading companies. The FTSE was 0.47 percent lower at 5,956.03 points.

Sky News reported on Sunday that Smith & Nephew had rejected an approach worth £7.0 billion (8.4 billion euros, $10.8 billion) from J&J several weeks ago. The broadcaster did not cite its source.

S&N, which is the biggest maker of replacement knees and hips in Europe, was not immediately available for comment on Monday. The firm is headquartered in London and has operations across the world.

© 2011 AFP

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