Toronto (Bloomberg) — Canadian stocks rose to a record as take-overs and higher prices for some metals boosted shares of materials producers such as Lundin Mining and Goldcorp.Energy shares including Nexen gained even as oil prices extended a drop from a seven-month high reached last week.

“Take-overs will continue. The number of deals has been amazing,” said Pierre Bernard, vice president of Canadian equities at Montreal-based Industrial Alliance Fund Management, which manages about $13.6 billion. “The Canadian stock market is not overly expensive. The world economy is still growing.”

The Standard & Poor’s/TSX Composite Index rose 87.08, or 0.7 percent, to 13,448.31 in Toronto. That exceeded the previous all- time closing high set on February 26.

Measures of raw-materials and energy shares pace gains, adding 1.4 percent and one percent, respectively. Commodity-related stocks make up more than two-fifths of the benchmark.

Shares of Lundin Mining soared C$1.83, or 14 percent, to C$15.24, for the top gain in the S&P/TSX. The owner of zinc mines in Portugal and Ireland said it agreed to acquire Rio Narcea Gold Mines Ltd. for C$993 million ($858 million) to take advantage of record nickel prices. Rio Narcea shares added 30 cents to C$5.12.

Dynatec, a company developing a nickel project in Madagascar, rose 28 cents, or 8.1 percent, to C$3.73.

It was the second takeover of a nickel miner in as many weeks. LionOre Mining International agreed to be bought on March 26 for $4 billion by Xstrata, the world’s fifth-largest miner.

Switzerland-based Xstrata last year paid $18 billion for Canada’s Falconbridge, while Brazil’s Cia. Vale do Rio Doce paid $16.7 billion for nickel miner Inco.