(Updating with full report)

COPENHAGEN (Thomson Financial) - Share prices closed lower, led down by Vestas Wind Systems on reports that a new US energy bill will lack tax credit provisions for the renewable energy industries, while Danske Bank and Sydbank rose, dealers said.

The OMXC20 index closed 5.27 points lower at 486.84 and the OMXCB Benchmark index fell 4.30 points to 464.23.

The OMXC All Share index closed 4.58 points lower at 471.16 on turnover of 5.74 bln dkr.

"Investors are making changes to their portfolios, moving away from cyclical stocks and into financials at the moment," one dealer said.

Vestas Wind Systems closed 23 dkr lower at 500 on reports that a new energy bill, expected to be passed by the US Congress this week, will lack key provisions for the renewable energy industries, dealers said.

Franklin Resources has reduced its holdings of Vestas shares to 4.98 pct.

William Demant Holding rose 0.5 to 438.5, while GN Store Nord shed 1.3 to 41.7. Swiss hearing aid peer Sonova reported a consensus-beating first-half result and increasing market share.

According to Jyske Bank, Sonova has pushed Demant into second position in the hearing aid industry, but the earnings report does not affect the bank's view of the Danish companies.

"We are still convinced that Demant's high-end product Epoq is the world's best and that the company will have great success with it in the coming five to eight months," Jyske Bank said.

Danske Bank was up 1.5 at 210.75, Sydbank rose 4.75 to 221.25 and Jyske Bank added 2.5 to 410 as financial stocks gained from the changes investors made in their portfolios, dealers said.

Topdanmark fell 9 to 736 and TrygVesta shed 1 to 385.

Lundbeck added 3 to 148 ahead of the group's third-quarter earnings results tomorrow.

Analysts polled by RB Boersen expect the pharmaceutical company to post a pretax profit of 916 mln dkr, up 45 pct from a year earlier, and a sales increase of 27 pct to 2.845 bln dkr, driven in particular by rising sales of depression treatment Lexapro.

Lundbeck has started phase I clinical trials of drug candidate Lu AA47070, which it expects to have potential in treating a number of neurological conditions including Parkinson's disease. The trial initiation does not have any impact on the group's financial expectations for 2007.

NeuroSearch rose 1 to 360.5 ahead of its third-quarter earnings results tomorrow.

Novo Nordisk B added 8 to 631, while Coloplast shed 6 to 470.

Danisco was unchanged at 384. Goldman Sachs upped its stance on the stock to 'neutral' from 'sell' and raised the target price to 407 dkr from 391 as part of a sector review. The upgrade follows a steep fall in the group's share price below the broker's target price.

Novozymes fell 24 to 535.

Carlsberg B was 10 higher at 656. Citigroup cut its target on the stock to 735 dkr from 740 on a reiterated 'hold' stance.

Royal Unibrew shed 6 to 612 ahead of the group's third-quarter earnings results tomorrow.

DFDS was 17 lower at 893. A new shipping tax scheme proposed by Norway's government may cost the group's Norwegian activities around 80 mln dkr, but the final form of the legislation is still unknown.

AP Moller-Maersk A was 1,900 lower at 66,700 and the B-shares fell 1,500 to 67,700, DS Torm shed 3 to 201, DS Norden was down 12 at 540 and DSV fell 4.25 to 121.

IC Companys was down 3 at 354 ahead of the group's third-quarter earnings results tomorrow.

FLSmidth ended the session 18 lower at 500. michael.delaine@thomson.com mdl/rw

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