It was a quiet start to the week for shares in Smith & Nephew PLC (LSE:SN). But perhaps it is the calm before the storm for the medical devices giant, which faces a shareholder revolt.
Activist investor Cevian Capital has increased its stake to 8.5%, intensifying pressure on the FTSE 100 group ahead of half-year results due on August 5.
Investors will be watching for signs of recovery in the orthopaedics division, where performance has lagged.
Cevian’s growing presence has fuelled talk of a possible break-up, even as the company insists it will retain the business.
Under chief executive Deepak Nath, Smith & Nephew is nearing the end of a three-year turnaround plan. Management is also expected to unveil fresh strategic targets later this year.
The shares opened 3.5p higher at 1,177p.