UPDATE 1-China Resources says eyes overseas assets acquisition

* Eyes overseas assets, looking at 6-7 deals in China

* Says no fundraising needs

* No plans to raise product prices, inflation seen easing (Add details)

HONG KONG, May 27 (Reuters) - China Resources Enterprise Ltd , the country's biggest supermarket operator and top beer maker, is eyeing overseas asset acquisitions, though there is nothing in the pipeline so far, its chief financial officer said on Friday.

"If the (overseas) asset, its business model can be replicated into China and will also do good to our existing business model, we will consider," CFO Frank Lai told reporters after an annual general meeting.

Lai said there are more than 30 Chinese cities with populations of more than one million providing strong growth prospects.

Lai said they were looking at 6-7 deals in China in areas including breweries, supermarkets and beverage but nothing overseas for the time being.

"We see intense competition for acquisitions in the mainland, and the price is expensive ... and some of the valuations are even higher than many overseas projects," Lai said. "We race against time (in acquisition)."

China Resources said it had sufficient financial support for acquisitions and had no plans to raise funds in the market.

"We don't have that kind of (fundraising) need this coming year," Lai said, adding that company cash on hand amounted to HK$16.3 billion ($2.1 billion).

Earlier this month, China Resources, which produces China's top beer brand, Snow, with one of the world's largest brewers SABMiller Plc , posted strong growth in first-quarter profit with core businesses in retail, beer, food and beverages reporting strong growth. [ID:nL4E7GJ0J2]

China Resources also said it had no plans to raise beer and food prices for now. It raised some of its product prices 4-5 percent so far this year as packaging costs increased.

"We see signs of slower inflationary pressure. We don't have any intention to raise prices in the short run," Lai said.

"Though we saw an increase in labour, rent in the first quarter results, we are able to absorb the increment in labour, rent and raw materials through expanding our revenue."

Its share ended 0.96 percent lower on Friday, against a 0.95 percent gain for the benchmark Hang Seng Index .

(Reporting by Donny Kwok and Rachel Lee; Editing by Jacqueline Wong)