STOCKS NEWS EUROPE-Venture Prod up; rejects Centrica bid

Shares in Venture Production (VPC.L), the North Sea gas producer, rise 4.7 percent after the company rejects a $2 billion dollar hostile approach from UK utility Centrica (CNA.L), with traders expecting a revised bid shortly.

Two of Venture's largest shareholders, Arclight Capital Partners and one of Venture's founders Larry Kinch, backed the managements decision to repel the bid, with both agreeing the 845 pence per share offer undervalued the company.

"An increased bid somewhere near the target price of 950 pence looks likely, quite a turnaround for a firm that was trading at 280 pence as recently as last November," says Mark Priest, senior trader at ETX Capital.

Centrica shares are up 0.3 percent.

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