Breaking up is hard to do, and technology group Smiths seems to have been doing its best to prove the point. Despite a number of approaches for its medical business in recent times - private equity group Apax was said to be offering around pounds 2.5bn, California's Carefusion pounds 3bn - Smiths has held on to the division, although to be fair, it has made the usual noises about considering all options in the best interests of shareholders. The FTSE 100 company holds an investor day this Tuesday, mainly to talk about its John Crane oil and gas division. But questions about the future of the medical division should by rights also be on the agenda. Analysts at Morgan Stanley pointed out last week that there is consolidation under way in the medical sector, and they believed Smiths could get between pounds 2.5bn and pounds 4bn if it sold the business. They believe the shares are undervalued because the company is seen as a conglomerate, something a break-up of the business could resolve. Next week's meeting - being held in Dubai - should focus the attention of both investors and the company itself on the way forward.
Most Popular Stories
- Dmytro Firtash, Ukrainian Billionaire, Arrested in Vienna
- Obama, Ukraine Discuss Russian Incursion in Crimea
- Ukraine Moves Closer to Joining E.U.
- Ukraine Loan Delayed While Congress Goes on Vacation
- Herbalife Puts Off Meeting for Icahn Talks
- Calumet Photo Files for Bankruptcy
- Navarro Celebrates 2 Years of Vida Mia
- Federal Gov't Deficit Continues to Decline
- Venezuela Death Toll Reaches 28
- Russia Holds Large Military Drills in South