Telecoms takeover talk helps lift European shares

miércoles 20 de mayo de 2015 12:29 GYT

* Pan-European FTSEurofirst 300 index ends 0.5 pct higher

* Altice surges 11.6 pct on Suddenlink bid, Vodafone also gains

* UBS gets lift after forex probe settlement, fine

* Burberry shares slide on profit guidance cut

By Atul Prakash

LONDON, May 20 (Reuters) - European shares edged higher on Wednesday, extending the previous session's gains, with the telecoms sector getting a big lift from deal-making and takeover talk.

The pan-European FTSEurofirst 300 index closed 0.5 percent higher at 1,613.60 points, adding to gains on Tuesday following speculation the European Central Bank could step up its bond-buying programme.

French telecoms group Altice surged 11.6 percent after it agreed to buy Suddenlink in a $9.1 billion deal to enter the fast-growing U.S. cable sector. Altice's French rivals Orange and Bouygues fell by around 1.5 percent.

"The whole of U.S. cable is a turnaround story. (Altice's) USP is doing turnarounds with leverage. Not without risk, but the value potential is very high," Gary Paulin, founding Partner of Aviate Global, said.   Continuación...