North American stocks are likely to rise at the open Monday amid a buyout deal for U.S. utility giant TXU and other merger activity.

TXU agreed to be acquired for nearly US$32 billion, plus the assumption of nearly US$13 billion in debt, by a group led by two of the biggest private-equity firms in the United States, Kohlberg Kravis Roberts and Texas Pacific Group. The takeover, which would be the largest-ever leveraged buyout, values each share of TXU at US$69.25 each, a 15% premium to Friday’s closing price.

In other M&A news, Apax Partners and Morgan Stanley’s principal investment unit agreed to purchase Chicago insurance brokerage Hub International for about US$1.7 billion, Hub announced today.

L.M. Ericsson Telephone said it was making a 9.8 billion Sweden krona (US$1.39 billion) cash offer for Norway’s Tandberg Television as it tries to position itself for the convergence of telecoms and television.

On Friday, Astral Media Inc. reported it has signed a letter of intent and is in exclusive negotiations to buy Standard Radio Inc., Canada’s biggest privately owned radio broadcaster.

The acquisition, rumoured to be worth $1.3 billion, would make Astral the largest operator of radio stations in the country.

In financial news, Citigroup named a new chief financial officer, Gary Crittenden.

Here at home, the Canadian dollar opened at US86.3¢, up 0.03 of a cent.

Crude-oil prices rose 28¢ to IS$61.42 a barrel.

Overseas, the FTSE 100 rose 0.4% in London.

Asian markets were mixed as Japan’s Nikkei rose for a third straight session to close at its highest level in nearly seven years.

Tokyo’s Nikkei 225 index rose 26.93 points, or 0.15%, to finish at 18,215.35 on the Tokyo Stock Exchange.

In Hong Kong, the blue-chip Hang Seng Index fell 203.70 points, or 1%, to 20,507.95.

Toronto stocks moved higher Friday, posting a fresh all time high, as the market was pushed ahead by higher resource prices.

The S&P/TSX composite index gained 25.55, or 0.19%, to 13,343.53, besting the most recent record high, which was set on Wednesday.

The benchmark index was up 0.2% on the week.

The S&P/TSX Venture composite index gained 38.25 points, or 1.20%, to 3,229.97.

In New York, markets were lower as investors fretted over global insecurity.

The Dow Jones industrial average lost 38.54, or 0.30%, to 12,647.48, the Nasdaq composite index lost 9.84, or 0.39%, to 2,515.10, and the S&P500 lost 5.019, or 0.36%, to 1,451.19.

For the week, the Dow ended down 0.9% — its biggest percentage drop since August. But the Nasdaq finished the week up 0.8%, while the S&P 500 ended down 0.3%.