Britain’s FTSE 100 opened slightly lower on Wednesday, hurt by declines in energy and bank stocks but losses were limited by a jump in DS Smith shares after the paper and packaging firm confirmed it was in discussions with International Paper for a deal.

The export-heavy FTSE 100 was down 0.2% by 0823 GMT and the domestically-oriented FTSE 250 was down 0.1%.

The energy sector dropped 0.9% as oil prices fell for a second day after a report showed US crude stockpiles increased. Bank stocks also lagged 0.8%.

DS Smith jumped 7.7% after the firm confirmed it was in discussions with International Paper over an all-stock buyout for 5.72 billion pounds ($7.22 billion) from its US listed rival.

UK’s FTSE 100 edges lower as miners drag

Also capping losses, specialized products and service distributor Diploma soared 10.8% after the company said it will acquire Peerless Aerospace Fastener for 236 million pounds ($297.88 million).

Market participants remain focussed on a key reading of the US personal consumption expenditure price index (PCE), the Federal Reserve’s preferred inflation gauge, which is due on Friday, when most global markets will be shut for the Good Friday holiday.