The FTSE 100 opened 0.11% higher to 5,211 in early trading following a flurry of M&A activity.
South Korean state oil company KNOC made a hostile takeover bid for Scottish petroleum exploration firm Dana Petroleum. Dana has yet to comment on the $2.9bn (£1.9bn) cash offer, which values shares at £18 each. The stock was up 5.78% to £17.93.
Meanwhile pub and restaurant operator Mitchells & Butler revealed plans to sell off a portfolio of 333 British pubs to Stonegate Pub Company, controlled by private equity firm TDR Capital, in a £373m deal.
The largest gainer was BG Group, up 2.91% to £10.60, while BP was the worst laggard, down 2.38 to 377.5p today.
In Europe, the French Cac 40 opened slightly higher at 3,577, up 0.15%. Winners included telecoms firm Alcatel-Lucent, healthcare provider Sanofi-Aventis, and utility firm GDF Suez.
The German Dax was broadly flat, with just a 0.01% fall. Deutsche Telekom and Siemens are among the strongest stocks.
In the US, markets closed lower last night following worse than expected labour market and manufacturing data. The Nasdaq closed 1.66% lower to 2,179, while the Dow Jones closed at 10,271, a 1.39% or 144.33 point decline.
