Europe Movers: Basilea, DS Smith, Entain, Future, Volvo

Inga Muller
04 Apr, 2024
Frankfurt

European markets edged higher but stayed near the flatline as investors reviewed the latest update on private sector activities in the eurozone and producer price inflation. 

Producer price inflation extended its annual decline in February to the eighth month in a row due to the lower cost of energy. 

The eurozone private sector's business activity expanded for the first time in ten months, according to the latest survey released by S&P Global on Thursday. 

The DAX index increased by 0.01% to 18,369.64, the CAC-40 index rose by 0.1% to 8,158.65, and the FTSE 100 index inched higher by 0.4% to 7,970.61.

The yield on 10-year German bonds edged down to 2.38%; French bonds inched lower to 2.88%; the UK gilts edged lower to 4.07%; and Italian bonds inched higher to 3.76%.

DS Smith increased 1.7% to 409.60 pence after the company confirmed it is still in merger talks with the U.K.-listed and Austria-based Mondi Plc. 

DS Smith is also evaluating a competitive bid from the U.S.-based International Paper, which valued the company at 415 pence per share of £5.72 billion, higher than the £5.1 billion offer from Mondi. 

The packaging industry is going through a wave of consolidation after demand soared for packaging materials following the boom in pandemic-driven e-commerce. 

Basilea Pharmaceutica AG jumped 7.2% to CHF 41.45 after the Switzerland-based pharmaceutical company received approval from the U.S. drug regulator for Zevtera, an antibiotic drug for the treatment of multiple infections. 

Future Plc jumped 12.1% to 671.50 pence after the diversified specialist media company reported revenue growth in the second quarter. 

The company reiterated its full-year fiscal 2024 outlook, citing continued improvement in its U.S. business. 

Entain PLC rose 3.5% to 785.80 pence after sports betting and online gambling company Chairman of the Board Barry Gibson stepped down from the management position in September after spending four years in the office. 

Volvo SE gained 0.6% to SEK 288.50 after the vehicle maker reported a significant increase in sales in March and in the first quarter. 

The Sweden-based vehicle maker, owned by China-based Geely, said the company sold 78,970 passenger cars in March, an increase of 25% from a year ago. 

First-quarter vehicle sales soared 12% from a year ago to 182,687. 

Electric vehicle sales in Europe advanced 34% in March and rose 22% in the first quarter; however, electric vehicle sales in China plunged 34%.