Smith & Nephew PLC (LON:SN.) shares were weak on Monday after the Financial Times reported that the medical devices firm is in discussions to acquire US surgical instruments maker NuVasive Inc (NASDAQ:NUVA), a deal that could be worth more than US$3bn.
The FT report, published online late on Friday, said the exact terms of the discussions had not been disclosed and added the talks may still not proceed to a deal.
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Nasdaq-listed, California-based NuVasive makes equipment for spinal surgery, as well as bone implants.
Last Thursday, S&N posted strong annual results, with all three of its divisions showing increased revenue.
Last month, the UK group completed the US$105mln acquisition of another US orthopaedics firm, Ceterix Orthopaedics.
In early trading on Monday, S&N shares topped the FTSE 100 fallers list, down 2.7% at 1,473.50p.
NuVasive, which has a market cap of USD2.55bn, saw its shares spike 18% higher in US after-hours trading following the publication of the FT article,