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LONDON, Dec 15 (Reuters) - European shares rose on Tuesday to bounce back from stinging losses in the previous session, as gains in major French companies propped up the region's equity markets.
The pan-European FTSEurofirst 300 index, which fell to its lowest level in two-and-a-half months on Monday due to a slump in oil prices, rose 1.3 percent while the euro zone's blue-chip Euro STOXX 50 index advanced 1.6 percent.
The French CAC-40 equity index outperformed, rising 1.7 percent. The Paris market was helped by French pharmaceuticals group Sanofi, which climbed 4 percent after it said it would swap some assets with Boehringer Ingelheim.
There was also a 7.5 percent surge in car parts company Faurecia after it agreed to sell a division to Plastic Omnium. The rise helped to lift the European autos and parts sector.
However, shares in German chipmaker Dialog Semiconductor slumped 17.2 percent, dragging down peers such as ARM and AMS, after Dialog slashed its revenue guidance. (Reporting by Sudip Kar-Gupta; Editing by Alistair Smout)