(Adds company items, details, quotes; updates snapshot)
PARIS, July 21 (Reuters) - European stocks were seen mixed on Monday, losing
steam after a three-session rally as investors sought direction from a flurry of
corporate earnings from U.S. bellwethers such as Apple (AAPL.O), Merck (MRK.N)
and Bank of America (BAC.N).
A $43.7 billion buyout offer by Swiss drugmaker Roche (ROG.VX) for U.S. firm
Genentech Inc DNA.N could spur consolidation talk and lend support to
pharmaceutical stocks.
By 0638 GMT, futures for the DJ Euro Stoxx STXEc1 were down 0.1 percent,
futures for Germany's DAX FDXc1 were up 0.1 percent and for France's CAC
FCEc1 were down 0.4 percent, while financial bookmakers, or spread betters, in
London expected Britain's FTSE 100 .FTSE index to open between 1 and 3 points
higher.
"We're getting a technical recovery in a bear market. But all fundamentals
remain in the red. People will still be very cautious for the coming month,"
said Rik Zwaneveld, trader at AFS Brokers, in Amsterdam.
European shares rallied on Friday after better-than-expected earnings from
U.S. bank Citigroup (C.N) spurred a rally in recently-hammered financial stocks.
Japanese markets were closed for a holiday.
----------------------MARKET SNAPSHOT AT 0629 GMT----------------------
LAST PCT CHG NET CHG
S&P 500 .SPX 1,260.68 0.03 % 0.36
MSCI ASIA EX-JP .MIASJ0000PUS 473.67 2.81 % 12.95
EUR/USD EUR= 1.5857 0.13 % 0.0021
USD/JPY JPY= 106.71 -0.21 % -0.2200
10-YR US TSY YLD US10YT=RR 4.099 -- 0.01
10-YR BUND YLD EU10YT=RR 4.574 -- -0.01
SPOT GOLD XAU= $960.30 0.63 % $6.00
US CRUDE CLc1 $129.86 0.76 % 0.98
-----------------------------------------------------------------------
* Techs sink as Google, Microsoft miss the mark, Dow up [ID:nN18477510]
* Asia stocks leap, but financial fears simmer [ID:nSP237852]
* Oil up over $1 on Iran talks, Mexico Gulf storm [ID:nSYD253567]
* Bonds fall for 3rd day on easing credit concerns [ID:nL21607936]
* Dollar drifts lower amid jitters about US bank results [ID:nSYD210298]
* Rising oil lifts gold, platinum near 11-week low [ID:nSP59761]
COMPANY ITEMS:
ROCHE (ROG.VX)
The Swiss drugmaker offered to acquire all outstanding shares in its U.S.
partner Genentech Inc DNA.N for $43.7 billion. Roche, which already owns 55.9
percent of Genentech, said it would offer $89 per share to buy up the remaining
stake, a 9 percent premium to the biotech company's closing share price on
Friday.
HBOS HBOS.L
British bank HBOS Plc HBOS.L said shareholders subscribed for just 8.3
percent of shares in its 4 billion pound ($8 billion) rights issue, leaving its
underwriters to try to sell almost 3.8 billion pounds of stock.
For details, see: [ID:nL21451405]
HSBC (HSBA.L)
HSBC has held talks with China's main sovereign investment fund over a
potential investment in Europe's biggest bank, the Sunday Telegraph reported,
without citing sources. For details, see: [ID:nL20681088]
SANOFI-AVENTIS (SASY.PA), MERCK (MRCG.DE)
French drug maker Sanofi-Aventis has agreed to pay $544 million to Primary
Health Care (PRY.AX) for Australia's largest distributor of vitamin supplements,
Primary said. The Australian Financial Review newspaper said that Sanofi-Aventis
beat Merck KGaA for the unit.
For details, see: [SASY.PA-LEN-RTRS]
SANTANDER (SAN.MC), AXA (AXAF.PA), ALLIANZ (ALVG.DE), AVIVA (AV.L), GENERALI
(GASI.MI)
Spain's biggest bank, Santander is in talks to sell its insurance business
for up to 4 billion euros. It has approached Germany's Allianz, France's AXA,
the UK's Aviva and Italy's Generali, Spanish newspapers reported.
For details, see: [ID:nL19616491]
MERCK (MRCG.DE) SIEMENS (SIEGn.DE)
LG Electronics Inc (066570.KS) posted an 84 percent jump in quarterly
earnings, helped by high margins on mobile phones, brisk sales of TVs and solid
results at its LCD joint venture. For details, see:[ID:nSEO286900]
UNION FENOSA UNF.MC, ACS (ACS.MC)
ACS plans to put its 45 percent stake in Union Fenosa up for auction on
Monday, media reported. ACS plans to use the proceeds to increase its stake in
Iberdrola (IBE.MC). El Economista said ACS was being advised by Lazard and
Mediobanca.
ROYAL DUTCH SHELL (RDSa.L) (RDSb.L)
The oil major has agreed to sell its stake in the 2.5-billion-pound ($5
billion) London Array offshore wind project to Denmark's DONG Energy and
Germany's E.ON EONG.DE, the Sunday Times said. For details, see:
[ID:nL20684109]
CONTINENTAL (CONG.DE)
Continental does not plan to deploy any poison pills in its defence against
Schaeffler's takeover bid, Conti's CEO said. [ID:nL1968057]
Schaeffler said it was open for constructive talks but reiterated that it
wants more than 30 percent of Conti. [ID:nL2018151]
Related news [CONG.DE-E]
MAN AG (MANG.DE), VOLKSWAGEN (VOWG.DE)
MAN AG is considering taking over VW's commercial vehicles business in
Brazil. [ID:nL1956762]
ADIDAS (ADSG.DE)
Adidas expects at least 15 percent growth in 2008 net profit, CFO Robin
Stalker was quoted as saying, reiterating the group's full-year forecast.
For details, see: [ID:nL20649516]
(Reporting by Blaise Robinson)
