Britain's FTSE at fresh 14-month high, though Sage Group slips

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* FTSE 100 up 0.2 pct

* Sage Group (LSE: SGE.L - news) sinks after data breach

* Oil stocks track oil price higher

* Entertainment One (Other OTC: ENTMF - news) gains after deal chatter

By Kit Rees

LONDON, Aug 15 (Reuters) - UK shares rose on Monday, touching a fresh 14-month high after oil stocks rallied, though shares in Sage Group fell after a data breach.

The blue chip FTSE 100 index was up 0.2 percent at 6,929.69 points by 0905 GMT, in line with a rally in the broader European market.

Sage Group dropped 1.1 percent, slipping from a 16-year high after the business software firm said that an internal login had been used to gain unauthorised access to the data of some of its British customers.

"I'm surprised the shares aren't down a bit more given the possible implications," Jasper Lawler, market analyst at CMC (Shanghai: 600327.SS - news) Markets said, citing a cyber attack on British telecoms company TalkTalk in late 2015.

"I think that the TalkTalk data breach and a few other have turned out to be far less damaging than initially feared, so maybe a lesson (that) has been taken away there is not necessarily to jump the gun too much and sell-off the shares."

Oil & gas stocks, however, added the most points to the index, as Royal Dutch Shell (Xetra: A0ET6Q - news) and BP both rose 1.4 percent and 0.5 percent respectively after the price of oil hit an August high on speculation about potential producer action to prop up prices in an oversupplied market.

Anglo American (LSE: AAL.L - news) was among the top risers, up 1.3 percent with analysts citing media reports that South Africa's Public Investment Corporation (PIC), its largest shareholder, was seeking to split up Anglo American's platinum businesses.

"We believe that the slow progress of the existing asset divestment programme ... will add to pressure on Anglo American to do a deal. However, we suspect that Anglo American would only say "yes" if PIC comes up with an offer that Anglo American believes superior to any that might be received in a conventional competitive sales process," Yuen Low, analyst at Shore Capital Markets, said in a note.

Outside of the blue chips, Entertainment One jumped 6.8 percent after a report of a possible bid from private equity firm KRR & Co.

Last week, Entertainment One rejected a 1 billion-pound ($1.3 billion) takeover offer from British broadcaster ITV , saying it undervalued the production and distribution company.

Property developer Countryside fell 2.7 percent after it was cut to "neutral" by JPMorgan (LSE: JPIU.L - news) , who also upgraded large cap Persimmon "overweight". Shares (Berlin: DI6.BE - news) in Persimmon were up 0.4 percent.

"We upgrade (Persimmon (Other OTC: PSMMF - news) ) to (overweight from underweight) to reflect both our view that dividends could still beat, and a preference for balance sheet strength and ex-London. We downgrade (Countryside) to (neutral) as a relative call, after a period of strong performance," analysts at JPMorgan said in a note. (Reporting by Kit Rees)