Smiths share price up as group appoints CEO to Medical unit

Smiths (LON:SMIN) share price has climbed higher in London in today’s session as the company announced that it had appointed a CEO to its Medical business. The news comes after in November, the blue-chip group unveiled plans to spin off the business, having scrapped talks about a potential combination of the unit with ICU.

As of 08:57 BST, Smiths Group’s share price had added 1.06 percent to 1,484.00p, outperforming the broader UK market, with the benchmark FTSE 100 index currently standing 0.66 percent higher at 7,307.56 points. The group’s shares have given up more than 16 percent of their value over the past year, as compared with about a five-percent dip in the Footsie.

Smiths appoints Medical unit CEO

Smiths Group announced in a statement this morning that it had appointed JehanZeb Noor as CEO of its Medical unit. He joins from sterile packaging specialist Amcor Flexibles where he led the Healthcare North America business and Global Sales for Medical, and will report to the FTSE 100 company’s CEO Andy Reynolds Smith.

“I look forward to working with JehanZeb as we continue building a strong, sustainable future for Smiths Medical and progress the separation of the business from Smiths Group,” Smiths Group’s CEO commented in the statement.

In March, Reuters revealed that the FTSE 100 company was planning to list the business. Subject to the approval of shareholders, the move is expected in the first half of next year.

Analysts on blue-chip company

The 14 analysts offering 12-month targets for the Smiths share price for the Financial Times have a median target of 1,610.00p on the shares, with a high estimate of 1,800.00p and a low estimate of 1,400.00p. As of May 31, the consensus forecast amongst 16 polled investment analysts covering the blue-chip group advises investors to hold their position in the company.