STOCKS NEWS EUROPE-SNAI soars after binding bid

Shares in Italian gaming company SNAI (SNAI.MI) rise over 7 percent after it said it received a binding offer from private equity funds after its shares closed the previous session.

"The offer will obviously be above current prices and so speculators are piling in," a Milan trader says.

The trader adds that defensive stocks in sectors such as gaming are in favour today. SNAI rival Lottomatica (LTO.MI) is also higher.

On Thursday SNAI said it has received a binding offer from private equity funds Bridgepoint Capital Ltd and Axa Investment Managers Private Equity Europe SA (AXAF.PA). [ID:nGEE5AP23X]

Two sources tell Reuters the private equity funds are in exclusive talks and have till next Monday to present a detailed offer.

Unconfirmed newspaper reports have spoken of an offer of around 600 million euros to buy SNAI's core gaming business.

Loss-making SNAI is Europe's sixth-biggest listed gaming company by market value.

At 1247 GMT the stock is up 6.9 percent while the Italian FT all-share index .FTITLMS is down 0.5 percent.

Reuters Messaging rm://stephen.jewkes.reuters.com@reuters.net