STOCKS NEWS EUROPE-UK small caps rise 0.1 pct, lag AIM stocks

The FTSE small cap index rise 0.1 percent, in-line with the mid-caps and the blue chips, but lagging junior-listed AIM shares , which gain 0.4 percent.

Inhalation drug company Skyepharma (LSE: SKP.L - news) rises 9.9 percent after it says that its asthma treatment flutiform has been launched in France and will be marketed by Mundipharma, who will give Skyepharma a 3 million euro ($4.09 million) milestone payment as well as royalties.

Wood-chip supplier Active Energy Group rises 13.8 percent after winning a contract with Kastamonu Entegre, one of Turkey's leading manufacturers of medium-density fibrewood, as well as coming to an agreement with TransInvest Service to help improve Active Energy Group's port and loading operations.

($1 = 0.7343 euros)

Reuters messaging rm://alistair.smout.thomsonreuters.com@reuters.net