European stocks stabilized during Monday's trading after strong performance last week, as investors shifted their attention to new acquisition deals, notably the bid for British airline 'EasyJet'.
The European 'Stoxx 600' index stood at 652.84 points by 07:10 GMT, after posting its strongest weekly performance since mid-May on Friday.
Shares of 'EasyJet' rose around 11 percent, after the low-cost airline agreed in principle to an improved acquisition offer from American investment firm 'Castle Lake', which values the company at up to £5.5 billion ($7.34 billion), according to 'Reuters'.
The travel and leisure sector led the European sectors' gains, rising about 1 percent, supported by news related to the deal.
A significant part of European stocks' recent gains has been driven by the easing tensions in the Middle East, alongside a drop in oil prices to levels close to those before the conflict broke out, boosting investor appetite for high-risk assets.
However, markets are still closely monitoring geopolitical developments, amid no progress in peace talks between the United States and Iran.
In stock movements, shares of French company 'Thales' fell about 1.4 percent, after the group reached an agreement with the main shareholder in 'Exail', the Georges family, to acquire their stake in the French technology company specializing in underwater drones, a first step towards a complete acquisition of the company.
In contrast, shares of 'Ferrari' rose about 2 percent, after the Italian luxury sports car manufacturer revealed a limited edition equipped with a 12-cylinder engine and manual transmission, which received wide acclaim from fans of traditional cars and internal combustion engines.
This follows the company's earlier announcement this year of its first electric car, which had resulted in sharp selling pressure on its shares.