Europe open: Shares up as Aveva bid talk spurs investors

European shares opened higher on Tuesday following on from a strong previous session as shares in Aveva surged on a report that the French industrial group Schneider was close to a takeover of the UK software maker.

The pan-European Stoxx 600 rose 0.22% in early deals with all major bourses higher. Investors were also eyeing US inflation data later in the day.

Aveva shares topped the Stoxx with a jump of 3.38%, while Schneider Electric rose 0.9%. Sky News reported late on Monday a takeover worth £3.5bn was close.

Media company Future gained as its said full-year adjusted operating profits were projected to be at the "top end" of market expectations of £266.4m to £270.7m after a return to organic audience growth in the second half, with Covid comparators fully lapped.

Shares in UK online supermarket Ocado plunged as the company said it expected a small fall in annual sales as customers started to tighten their belts amid the cost-of-living crisis.

The supermarket, a joint venture between Ocado Group and retailer Marks & Spencer, also said it now expected close to break-even core earnings. It had previously forecast low single digit revenue growth and a low single digit profit margin.

Reporting by Frank Prenesti at Sharecast.com