J & J weighs a new offer from Smith & Nephew, says Sunday Times

J & J weighs a new offer from Smith & Nephew, says Sunday TimesThe US healthcare system giant Johnson & Johnson is considering making a new attempt to acquire UK listed healthcare company Smith & Nephew.

Johnson & Johnson United States, should think about an offer that the values S & N, much higher than its earlier offer of 685p. The company is expected to offer 800 pence per share in fresh offer.

It would be an important development over the 750p was funded in the past year and could spark a bidding war this year as there are other companies looking to acquire stake in Smith & Nephew as well.

There was speculation earlier this week that close rival Biomet also looks at S &N.

Smith shares mounted a record high of 735p after rumors but the company board had rejected a bid approach for J & J. The stock price declined after the offer was rejected.

However, even the new offer is likely to be rejected as per speculations of analysts. Jantet Sebastian, an analyst at Investec Securities Broker offers a fair cost for the firm would be about 900 pence per share, taking the the valuation of the manufacturers of hip and knee to 8 billion pounds.