STOCKS NEWS EUROPE-Klepierre up as debt deal reached

Shares in Klepierre (LOIM.PA) rise 5.3 percent after France's third-biggest listed property group says it has reached a deal with banks on debt covenants and has a new credit facility of 2.4 billion euros maturing in 2015 with French bank BNP Paribas (BNPP.PA).

"Against a backdrop where the breach of former covenants was becoming unavoidable, this news is extremely reassuring and shows, if such a demonstration were still needed, BNP Paribas' support for Klepierre," a trader says.

"More significantly, Klepierre has indefinitely postponed the spectre of a capital increase which has weighed on the share price despite management's repeated denials regarding such a move."

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