European Indexes End Higher in Volatile Session

(page 2 of 2)

Negocio reports talk that Italy's ENI is planning to take a stake in REPSOL (+1.14%), allowing it to collaborate in the Spanish oil firm's strategic plans, but without influence on management. Repsol was also boosted by an upgrade to buy at Kepler. Following news yesterday that 3i and DERMOESTETICA (-0.11%) are in exclusive talks, Expansion writes that 3i wants to de-list the cosmetic surgery firm and double its size within five years. In other news, INDITEX (-1.18%) expects to double its presence in Russia in 2008 to 100 stores from the current 48, Cinco Dias reports. ACCIONA (+2.38%) has sold its 50% stake in La Compagnie du Vent for €265 million. Finally, Peter Erskine is to step down as head of TELEFONICA's (+0.66%) O2 Europe unit.

Amsterdam

The AEX (+0.34%) closed higher at the end of a relatively volatile session, with Wall Street in positive territory. WTI was up at US$92.51/bbl on a pipeline fire in the US. Back home, China's No. 2 life insurer, Ping An Insurance, has taken a 4.2% stake in FORTIS (+1.98%) for US$2.7 billion. Staying with financials, ING (+0.58%) has taken €23.4 billion of assets from two funds invested in mortgages and corporate credit back on to its balance sheet, according to press reports that also cited an ING official as saying the bank will not have to absorb losses on the portfolio. Elsewhere, ARCELOR MITTAL (+2.78%) announced it is to build a 300,000 tonne p.a. pipe mill in Nigeria. JP Morgan initiated with overweight. VEDIOR (+1.65%) said it has signed an agreement to acquire 70% in German IT recruitment company GULP, which saw fiscal 2006 sales of €40.9 million. In the wider market, the standout story was BAM GROEP (+2.88%), the builder unveiling nine months turnover of €2.786 billion, up 18% year-over-year; operating profit of €235.5 million, up 122% year-over-year; and net profit of €192.6 million, up 181% year-over-year. Its order book remains at a 'high record level' and stood at €13.7 billion as of 30 September, 2007. BAM raised fiscal 2007 outlook, seeing net profit of at least €310 million from a previous €296 million view. In broker news, ING cut target on DRAKA (-3.02%) to €28; keeps buy.

This content is written by S&P MarketScope Europe (EMS), an equity newswire. Reporters are: Pawan Girglani, Emma Gonzalez, Julien Manrique, Sara Oscarsson, Rocio Opazo-Aniotz, Gaurav Panchal, Claudia Perotti, Michael Sanderson, Emma Stevenson, John West, Isabell Witt .