UPDATE 1-Metsaliitto, M-real sell pulp firm stake to Itochu
* Metsaliitto, M-real to sell 24.9 pct stake in Metsa Fibre
* Itochu to pay 472 mln euros for the stake
* Deal subject to competition authority approval (Adds details)
HELSINKI, April 11 (Reuters) - Finnish forestry cooperative Metsaliitto and board maker M-real said they will sell a 24.9 percent stake in pulp firm Metsa Fibre for 472 million euros ($617.5 million) to Japan's Itochu Corporation .
Metsa Fibre's previous name was Metsa Botnia.
The deal requires approval from Germany's competition authority and is expected to be closed by the end of the second quarter.
Metsaliitto said it will use its option to buy UPM-Kymmene's 11 percent shareholding in Metsa Fibre for 150 million euros when the Itochu deal is finalised.
After the deals Metsaliitto will own 50.2 percent of Metsa Fibre, while M-real and Itochu both will have 24.9 percent stakes.
M-real, which will receive 138 million euros from the deal, said it will book a capital gain of 88 million euros in the second quarter.