Smith & Nephew surges on Elliott Management reports

Smith & Nephew shares were given a leg up in London on Wednesday on the back of speculation that US activist investor Elliott Management was building a stake in the artificial limbs group.

The hedge fund has built a stake in the maker of replacement knees and hips, Bloomberg reported overnight, though it was not yet known how many shares the activist investor owns.

Elliott owner Paul Singer typically takes a stake in a listed company in order to push for change, such as seen in London at BHP Billiton.

But the reports said the plans for Smith & Nephew had not yet been made clear.

“We do not comment on rumour or speculation and we do not comment on the identity of our investors other than those publicly disclosed,” the UK company said in an statement emailed to reporters.