UPDATE 1-NETeller rises on renewed bid talk

(Adds company comment, further trader comment)

LONDON, May 29 (Reuters) - London-listed NETeller NLR.L rose strongly on Thursday on renewed speculation of a bid at about 95 pence/share, but the online payment company later gave up most of the gains as sellers entered the market, traders said.

Two traders cited talk of a potential 95p/share bid, while another trader cited talk of an offer between 90-95p per share.

The shares rose 13 percent to 70p in morning trade, but retreated to 64.75 pence -- 4.4 percent higher -- at 1334 GMT as U.S. sellers entered the market and took profits, a further trader said.

The shares hit a 2008 peak of 75p on May 15 on previous talk of a bid above 90p per share, but had since fallen back.

A bid was "more than likely" said one of the traders, who declined to be named. The stock has lost more than 90 percent of its value since the U.S. crackdown on online gaming in 2006, he added.

NETeller declined to comment. (Reporting by Michael Taylor, Paul Sandle, Chris Wills; Editing by Mark Potter, Greg Mahlich)