The soaring value of Lonmin shares helped the FTSE 100 index to nose into positive territory this morning.
The platinum mining group's shares were up by around a half - adding £1.8bn to the company's market value - after rival group Xstrata made a takeover approach.
This helped the FTSE 100 to climb 13.1 points to 5467.6 - just a 0.2% increase on yesterday.
Lonmin's share price of £34.65 - some 49% up on last night's close - was above the £33 per share Xstrata offered.
Lonmin rejected the bid, branding it an "opportunistic and entirely unwelcome attempt to acquire Lonmin at a price which undervalues its unique assets".
Other mining stocks benefited from Xstrata's move.
Vedanta lifted 6% to £18.73, while copper specialist Antofagasta was up 5% to 547p.
Eurasian Natural Resources increased by 4% to 987p, while Anglo American rose by a similar amount to £27.98.
And Johnson Matthey, the British platinum distributor and processor, rose 4% to £15.71.
Aquarius Platinum was the top gainer in the FTSE 250, up 18% to 453.75p.
Oil services group Hunting rose 11% to 879p after selling Canadian division Gibson Energy for £626m and outlining plans for acquisitions.
The FTSE 100 fallers were led by broadcaster ITV, which revealed an extra £35m in cost cuts and said advertising would be down 20% in September.
Shares dipped 8% to 42.4p, and at one point touched 38.3p, equivalent to the stock's all-time low recorded last month.
Insurer Old Mutual reported problems in the US and warned that sales there could fall in 2008, sending shares down 7% to 99.3p.
Shopping mall owner Liberty International lost 5% to 917.5p after reporting a fall in the value of its assets.
