Menu
Equities Indices

European shares rise amid M&A talk

Share this article!

European shares are higher around midday Monday, as investor sentiment gains amid mergers and acquisitions talk, while political uncertainty takes a backseat. While tensions in Italy, Spain and the US trade policies remain, they’re not the main focus, so far Monday.

By 1225 BST, the EUROSTOXX 600 was 0.40% higher, while the EUROSTOXX 50 gained 0.50%. The regional bourses were a little mixed. The German DAX edged down 0.05%, however, the French CAC rose 0.27% and the Spanish IBEX was 1.86% in positive territory.

Deals talk dominates investor sentiment

A number of M&A discussions are hot topics in the European markets Monday. Among them are an FT report that UniCredit and Société Générale are in talks to merge their operations and potentially become Europe’s biggest bank.

Neither bank has been willing to confirm the talks, so far.

UniCredit shares rose 0.74% to trade at €14.80, while SocGen shares gained 2.16% to €38.34 amid the news.

An increased offer from CYBG to buy Virgin Money, meanwhile, has also helped to boost the banking sector, with both stocks moving higher in morning trade.

Outside the finance arena, AccorHotels has confirmed it has resumed discussions with Air France-KLM to work more closely together. One option could include AccorHotels buying some or all of the French Government’s stake in the airline.

Accor shares lost 6.07% to hit €44.71, while Air France-KLM shares moved up 6.99% to €7.47.

Other stock movers

Other European stock movers of note were also apparent, Monday.

Novartis shares were trading 0.24% higher at €74.88 after it announced positive results from its third Phase III trial of its breast cancer drug, Kisquali.

Deutsche Bank shares are also trading higher Monday, continuing the gains made towards the end of last week amid a tough time for the German bank. Deutsche Bank shares were 2.47% higher at €9.64.

Add Comment

Investing is speculative. When investing your capital is at risk. This site is not intended for use in jurisdictions in which the trading or investments described are prohibited and should only be used by such persons and in such ways as are legally permitted. Your investment may not qualify for investor protection in your country or state of residence, so please conduct your own due diligence. This website is free for you to use but we may receive commission from the companies we feature on this site. Click here for more information.