LONDON (ShareCast) - (Sharecast News) - Engineer Smiths Group said on Thursday that it has ended talks about combining its medical business with US-based ICU Medical after the two failed to agree terms.
The company, which confirmed back in May that it was in early talks with ICU Medical, said the board recognised the complementary strengths of the business but that it was important that any combination did not undervalue Smiths Medical and its prospects.

The group, whose medical division has invested significantly in a substantial ongoing programme of new product launches, said it will continue its strategy to focus on organic growth, investing in R&D to strengthen its portfolio of products.

Smiths will also continue to review all options for its businesses "to enhance its leadership positions and optimise value for Smiths shareholders".

Chief executive Andy Reynolds Smith said: "We have ended discussions with ICU today after careful consideration and in the interests of our shareholders. Smiths Medical will continue to capitalise on the increased investment that it is making in new product development. We remain confident that our strategy for Smiths Medical will drive market outperformance and world-class competitiveness.

"Alongside continued active portfolio management across all our businesses, this will deliver long-term sustainable growth and attractive returns for our shareholders."

At 1330 BST, Smiths shares were up 0.3% to 1,572.50p.

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