The rumors, sparked by acquisition speculation published in the Financial Times, prompted investors to boost share prices for Smith & Nephew to £10.12 apiece for a record high and a gain of some 17.5%, according to Reuters.
But the stock fell back to earth after Stryker’s denial; SN shares were trading at £0.99 each on the London stock exchange as of about 11:30 Eastern time today, up 3.9%. Smith & Nephew’s U.S. stock price was up 3.6% to $83.23.
"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 today.
But the Kalamazoo, Mich.-based company also left the door open for a potential buyout.
"Stryker reserves the right to announce or participate in an offer or possible offer for Smith & Nephew and/or to take any other action which would otherwise be restricted … within 6 months after the date of this announcement," according to the statement.