European equity markets started the week on a positive footing with most adding to Friday’s gains, albeit modestly as investors treaded causally ahead of this week’s Federal Reserve meeting. Stocks in Dublin were no different as the Iseq added 2.38 points to close on 3,917.9.

Royalty Pharma has urged the board of Irish biotech firm Elan to engage it in takeover talks immediately.

Royalty Pharma has raised its offer to buy Elan after the Irish drug maker announced several acquisitions to boost revenue and resist the bid.

Elan agreed to pay $1bn (€770m) for a share of the royalties on new drugs from Theravance as it tries to persuade shareholders to spurn a takeover offer by Royalty Pharma.

Drugs giant GlaxoSmithKline has agreed to up its stake in US biotech firm Theravance, its partner in lung medicine Relovair.