UPDATE 1-Germany's Cognis H1 slips, says to raise prices

(Adds CFO on outlook)

FRANKFURT Aug 27 (Reuters) - German specialty chemicals company Cognis [COGN.UL] said on Wednesday first-half adjusted core profit slipped 5 percent as price rises failed to offset higher raw material and transport costs.

First-half adjusted earnings before interest, taxes, depreciation and amortisation fell 5.1 percent to 176 million euros ($258.9 million) despite a 7 percent rise in sales to 1.5 billion euros.

"We see it necessary to raise prices again due to rising raw material costs and the weak dollar," Chief Executive Antonio Trius said in a statement on Wednesday.

The company had previously forecast higher profits and sales for 2008 but Chief Financial Officer Klaus Edelmann told Reuters that because it had sold its Pulcra and Oleochemicals units since then, it was difficult to give a refreshed full-year outlook.

"We are also presuming there will be a tough market environment in the second half of the year," he said.

Cognis, which makes ingredients for L'Oreal (OREP.PA) cosmetics and Becel low-cholesterol margarine, is owned by private equity funds Permira [PERM.UL], GS Capital Partners (GS.N) and SV Life Sciences. (Reporting by Frank Siebelt and Sylvia Westall; Editing by Quentin Bryar)