ISEQ bounces back

The ISEQ index of Irish shares has bounced back from yesterday's loss of over 200 points, rising 130.97 to 7492.34 by 2.30 pm this afternoon.

Shares in eircom were in positive territory, up 5c to €2.20, following the news that Australian finance house Babcock and Brown has joined forces with the eircom Employee Share Ownership Trust (ESOT) to make a long-anticipated €2.4bn offer for eircom.

Babcock and Brown incorporated a new company - BCMIH - to implement the eircom offer. BCMIH is funded by Babcock & Brown, some of its affiliates and ESOT.

Once the takeover is completed, Babcock and Brown will hold 65% of eircom, with 35% in ESOT hands.

The two currently hold about 50.2% of shares between them.

Elsewhere, shares in Tullow Oil jumped over 5%, up 25c to €5.02 following its announcement that its southern North Sea Schooner-10 production well commenced production on May 16 at a stabilised rate of 22 mmscfd.

Commenting today, Aidan Heavey, Chief Executive of Tullow said: "Over the last 12 months we have…made a total of four exploration discoveries and completed Tullow’s first operated offshore development.

"Our increasing control over our operations, allied to the ongoing strength and seasonality of UK Gas pricing, allows Tullow to optimise returns from assets such as Horne and Wren by managing production to meet periods of peak demand and pricing."

Elsewhere, the financial heavyweights enjoyed mostly good fortunes. AIB rose 45c to €17.95, Bank of Ireland rose 38c to €14.20 and Irish Life and Permanent rose 10c to €18.50.

Anglo Irish Bank bucked the trend, falling 5c to €11.80