The recently merged

Terra Lycos

(TRLY)

, which started trading under this name and the "TRLY" ticker Tuesday, was up $1.25 to $24.25 on volume of 203,650 shares in preopen trading Thursday on news that its European unit will buy Paris-based Internet company

MultiMania

for $191 million.

The company, which last week was formed by the merger of Terra and Lycos, was the most actively traded stock on electronic brokerage

Instinet

this morning.

Yesterday, European analysts initiated buy ratings on the stock, saying the company was going to be a winner in Europe.

Deutsche Banc Alex. Brown

initiated coverage with a buy rating Tuesday.