Smith & Nephew and Centerpulse: Perfect Together

01 Apr 2003

While the deal between Smith & Nephew and Centerpulse may feel like the product of recent events, most notably Centerpulse's troubles, a closer look reveals the complementary nature of the two companies, showing the merger would have made sense in any case.

This deal feels so much like the product of recent events—most notably, Centerpulse AG 's struggles over the past nearly two years, first with an unhappy shareholder and then with a major product recall—that it's easy to forget that it could have happened at virtually any time over the past several years [See Deal].

Indeed, some industry executives believe that rather than opportunistically targeting a Centerpulse perceived to be down-and-out, Smith & Nephew PLC...