* Pennon shares down 6% (Adds analyst, shares of other water companies)

Indian shares recouped early losses to close higher on Tuesday as oil explorer ONGC and aluminium producer Hindalco rose on a rebound in commodity prices after China relaxed some COVID-19 curbs.

* Buyer vs seller valuation gaps may take a year to close (Updates story to add in para 21 that Stratec declined to comment.)

England and Wales water regulator Ofwat opened an enforcement case against utility company Pennon Group's South West Water on Tuesday, the latest target in an investigation into wastewater treatment works, sending Pennon shares down 4%.

* FTSE 100 up 0.9%, FTSE 250 adds 0.1% (Adds analysts comments, details)

UK's FTSE 100 index on Tuesday hit its highest level in more than two weeks, with commodity stocks leading the gains, as China's decision to ease some COVID-19 restrictions boosted risk sentiment.

European listed companies have not been this cheap for more than a decade, yet for private equity firms looking to put their cash piles to work, costlier financing and stronger resistance from businesses are complicating dealmaking.

Indian shares slipped on Tuesday after three straight sessions of gains, while the rupee fell to a record low, as oil prices rebounded after last week's rout and fanned inflation worries.

Indian shares opened lower on Tuesday after three consecutive sessions of gains, tracking weakness on Wall Street overnight and as oil prices rebounded after last week's rout.

Nike Inc forecast first-quarter revenue below estimates as it expects to discount more and wrestles with pandemic-related disruptions in China, its most profitable market.