European Factors to Watch- Higher start eyed on M&A, ECB speculation

Mon Sep 1, 2014 2:34am EDT

(Recasts, adds futures, further company news)
    LONDON, Sept 1 (Reuters) - European shares were set to kick off September on
an upbeat tone on Monday, helped by some mergers and acquisitions speculation
and expectations of new monetary largesse in Europe.
     At 0630 GMT, futures for the Euro STOXX 50, Britain's FTSE 100
, Germany's DAX and France's CAC were up between 0.3
percent and 0.5 percent.
     They were tracking gains on Wall Street and Asia as speculation that the
European Central Bank, due to meet later this week, may announce new stimulus
measures outweighed worries about weak Chinese data and tensions between Russia
and the West over Ukraine.  
    British broadcaster ITV was seen opening between 1 percent and 2
percent higher after The Telegraph reported Liberty Global Plc, the
owner of Virgin Media, was canvassing support from major ITV shareholders
following its acquisition this summer of a 6.4 percent stake, raising
speculation of a full takeover bid. 
    Shares in Deutsche Telekom were indicated to be among top gainers
on Germany's Dax index after Bloomberg reported Iliad is talking to
private-equity firms about teaming to make an improved offer for Deutsche
Telekom AG's T-Mobile US unit.
    Iliad finance chief Thomas Reynaud had said late on Friday that the
French telecom firm's $15 billion bid for T-Mobile US made in early
August remained "pertinent", but declined to comment further on the potential
deal. 
    Trading volume was likely to be thin, with the U.S. market shut for a
national holiday.    
------------------------------------------------------------------------------
  MARKET SNAPSHOT AT 0630 GMT:     
    
                                              LAST        PCT CHG       NET CHG
 S&P 500                                  2,003.37         0.33 %          6.63
 NIKKEI                                    15476.6         0.34 %         52.01
 MSCI ASIA EX-JP                            512.66         0.25 %          1.28
 EUR/USD                                    1.3128        -0.03 %       -0.0004
 USD/JPY                                    104.14         0.09 %        0.0900
 10-YR US TSY YLD                            2.345             --          0.00
 10-YR BUND YLD                              0.893             --          0.01
 SPOT GOLD                               $1,287.80         0.06 %         $0.73
 US CRUDE                                   $95.77         -0.2 %         -0.19
 
    
  > GLOBAL MARKETS-ASIAN SHARES EDGE PAST CHINA BLUES, EURO WALLOWS 
  > S&P 500 EDGES UP TO SET NEW RECORD; BEST MONTH SINCE FEB        
  > NIKKEI'S GAINS LIMITED BY WORRIES OVER JAPAN'S RECOVERY         
  > NIKKEI'S GAINS LIMITED BY WORRIES OVER JAPAN'S RECOVERY         
  > FOREX-EURO HAMSTRUNG BY UKRAINE WORRIES, DOLLAR UP              
  > PALLADIUM EXTENDS WINNING STREAK TO 4TH SESSION ON SUPPLY FEARS 
  > LME COPPER SLIPS AS CHINA FACTORY GROWTH SLOWS                  
  > OIL UP ON UKRAINE TENSIONS, DATA, BUT POSTS SECOND MONTHLY FALL 
    
    COMPANY NEWS:    
    ILIAD, DEUTSCHE TELEKOM - Iliad is talking to
private-equity firms about teaming to make an improved offer for Deutsche
Telekom AG's T-Mobile US unit, Bloomberg reported on Sunday, citing people
familiar with the matter. 
    The French low-cost telecoms carrier is ahead of schedule on its 2015 goal
to reach annual sales of 4 billion euros ($5.3 billion) and will probably have
15 percent mobile market share by the end of this year, its finance chief said.
 
    *  BARCLAYS, CAIXABANK - Barclays is selling its Spanish
retail and corporate banking operations to Caixabank, the two companies said on
Sunday, as the British bank starts shrinking its struggling European divisions
as part of a major overhaul. 
    * SWISS BANKS - At least 10 Swiss banks have withdrawn from a U.S. programme
aimed at settling a tax dispute between them and the United States, Swiss
newspaper NZZ am Sonntag said on Sunday, quoting unnamed sources.
 
    * TESCO - One of the supermarket's largest shareholders, Harris
Associates, has sold around two thirds of its stake, saying the retailer lacks a
clear strategy, the Sunday Telegraph reported. 
    * TELECOM ITALIA - The Italian phone company will consider all
options to bolster its Brazilian unit, Tim Partecipacoes, after it
lost a battle to buy Brazilian broadband business GVT, Telecom Italia Chairman
Giuseppe Recchi told Corriere della Sera. 
    Hong Kong-based conglomerate Hutchison Whampoa could be still open
to discuss a tie-up with Telecom Italia, daily La Repubblica reported on Sunday
in an unsourced report.
    The Italian group has decided to extend the deadline to complete the sale of
Telecom Argentina by another three weeks from Sept. 1, Il Sole 24 ore
said on Saturday.
    Il Sole also said that if as expected Vivendi takes a stake in Telecom
Italia as part of its sale of GVT to Telefonica, the three Italian investors in
Telco - Mediobanca, Generali and Intesa Sanpaolo -
could delay their exit from the group to side with the French company.
    * NOVARTIS - A new heart failure drug from Novartis cut the risk
of both cardiovascular death and hospitalisation by a fifth in a keenly awaited
study, boosting hopes for a product that is seen as a multibillion-dollar
seller. 
    * SWATCH GROUP - The group is happy to go it alone with a launch
next year of watches with "smart" features to compete with so-called wearable
gadgets from the big tech companies, a market potentially worth $93 billion.
 
    * CRUISE OPERATORS - Norwegian Cruise Line Holdings Ltd, the
world's third largest cruise operator, is in advanced talks to acquire peer
Prestige Cruises International Inc for around $3 billion, according to people
familiar with the matter. 
    * AIRLINES - Iceland cut its ash warning level for aviation to orange from
red on Sunday, saying a fresh fissure eruption in Iceland's Bardarbunga volcano
system was not creating ash. 
    * FIAT MI> - Fiat-Chrysler aims to list shares in the newly merged
carmaker in New York on Oct. 13, Chief Executive Sergio Marchionne said on
Saturday, adding that a decision on any capital increase would be made at the
end of that month. 
    *  AREVA, SIEMENS - The Areva-Siemens consortium said
the start-up of Finland's Olkiluoto 3 nuclear reactor would be further delayed
due to problems with the plant's instrumentation and control system.
 
    * HAVAS - The French advertising agency saw organic sales growth
accelerate in the second quarter to hit 8 percent year-on-year, outperforming
larger rivals such as Omnicom and WPP. Havas Chief Executive Yannick Bollore
told Le Figaro in an interview this weekend that Havas would continue to pursue
acquisitions at the rhythm seen so far this year.    
    * PUBLICIS - Reports that the French advertising agency is in
talks to buy online ad start-up Criteo are unfounded, a source close to
Publicis said. French media reports to that effect sent Criteo shares up more
than 20 percent.       
    

 (Reporting by Francesco Canepa; Editing by Sudip Kar-Gupta)
Comments (0)
This discussion is now closed. We welcome comments on our articles for a limited period after their publication.