Russian distribution and manufacturing business

RNS Number : 6807S

Smith & Nephew Plc

10 July 2015

 

Smith & Nephew acquires Russian distribution and manufacturing business

10 July 2015

Smith & Nephew plc (LSE: SN, NYSE: SNN), the global medical technology business, today announces the acquisition of the trauma and orthopaedics business of DeOst LLC and DC LLC, a manufacturing company in the DeOst group. DeOst has distributed Smith & Nephew's products in Russia since 2009.

The acquisition brings us closer to our customers through well-established commercial channels, allowing us to better understand needs and offer a fuller range of products and services. DC's local capability to manufacture mid-tier trauma products will enable us to reach more customers following recent changes relating to state tenders supporting Russian produced products.

Olivier Bohuon, chief executive officer of Smith & Nephew, commented:

"Smith & Nephew has grown its business in Russia since 2005. This investment, in-line with our strategy to build our platform in the Emerging Markets, significantly boosts our local presence and prospects and will enable us to take advantage of market dynamics and better serve Russian customers."

Approximately 350 new employees have joined Smith & Nephew. The terms of the transaction have not been disclosed.

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Enquiries

Investors
Ingeborg Øie	[phone]
Smith & Nephew
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Charles Reynolds	[phone]
Smith & Nephew
Ben Atwell / Deborah Scott / Matthew Cole	[phone]
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About Smith & Nephew

Smith & Nephew is a global medical technology business dedicated to helping healthcare professionals improve people's lives. With leadership positions in Orthopaedic Reconstruction, Advanced Wound Management, Sports Medicine and Trauma & Extremities, Smith & Nephew has around 14,000 employees and a presence in more than 100 countries. Annual sales in 2014 were more than $4.6 billion. Smith & Nephew is a member of the FTSE100 (LSE: SN, NYSE: SNN).

For more information about Smith & Nephew, please visit our corporate website www.smith-nephew.com, follow @SmithNephewplc on Twitter or visit SmithNephewplc on Facebook.com.

Forward-looking Statements

This document may contain forward-looking statements that may or may not prove accurate. For example, statements regarding expected revenue growth and trading margins, market trends and our product pipeline are forward-looking statements. Phrases such as "aim", "plan", "intend", "anticipate", "well-placed", "believe", "estimate", "expect", "target", "consider" and similar expressions are generally intended to identify forward-looking statements. Forward-looking statements involve known and unknown risks, uncertainties and other important factors that could cause actual results to differ materially from what is expressed or implied by the statements. For Smith & Nephew, these factors include: economic and financial conditions in the markets we serve, especially those affecting health care providers, payers and customers; price levels for established and innovative medical devices; developments in medical technology; regulatory approvals, reimbursement decisions or other government actions; product defects or recalls; litigation relating to patent or other claims; legal compliance risks and related investigative, remedial or enforcement actions; strategic actions, including acquisitions and dispositions, our success in performing due diligence, valuing and integrating acquired businesses; disruption that may result from transactions or other changes we make in our business plans or organisation to adapt to market developments; and numerous other matters that affect us or our markets, including those of a political, economic, business, competitive or reputational nature. Please refer to the documents that Smith & Nephew has filed with the U.S. Securities and Exchange Commission under the U.S. Securities Exchange Act of 1934, as amended, including Smith & Nephew's most recent annual report on Form 20-F, for a discussion of certain of these factors. Any forward-looking statement is based on information available to Smith & Nephew as of the date of the statement. All written or oral forward-looking statements attributable to Smith & Nephew are qualified by this caution. Smith & Nephew does not undertake any obligation to update or revise any forward-looking statement to reflect any change in circumstances or in Smith & Nephew's expectations. 

 

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