June 30, 2014 / 9:22 AM / 3 years ago

UPDATE 1-Metro sells Real stores in Turkey to focus on Germany

* Metro expects to close deal in summer

* Purchase price not disclosed

* Metro already sold Real business in eastern Europe

* Real losing market share in Germany to discounters (Adds details, background)

BERLIN, June 30 (Reuters) - German retailer Metro is selling its 12 Real hypermarkets in Turkey to Ankara-based supermarket chain Haci Duran Begendik as it focuses on turning around Real’s struggling business in Germany.

“With this move, Real will fully focus on the successful development of its business in Germany,” Metro said in a statement on Monday, adding it was not disclosing the purchase price of a deal it expects to close in the summer.

Real Turkey had sales of 256 million euros ($349.20 million)in the 2012/13 fiscal year and employs around 1,800 people.

Metro, Europe’s fourth-biggest retailer which operates a sprawling empire of 2,200 outlets in 31 countries, has been trimming its portfolio to focus on its cash and carry and consumer electronics stores, which it sees as its most promising businesses for the future.

In 2012, Metro sold its Real hypermarkets in eastern Europe to French rival Auchan for 1.1 billion euros, leaving Turkey as Real’s only market outside Germany.

Metro said on Monday that Turkey remained an important focus for its cash and carry business and its Media-Saturn business, Europe’s biggest consumer electronics chain.

Real, which accounts for about 16 percent of Metro sales, is battling stiff competition from discount supermarket chains like Aldi and Lidl, seeing its German sales fall 4.4 percent to 4.089 billion euros in the first half of the 2013/14 fiscal year.

British retailer Tesco Plc said last month it had failed to reach a deal with unnamed third parties over its struggling business in Turkey. ($1 = 0.7331 euros) (Reporting by Emma Thomasson; Editing by Christoph Steitz and Susan Fenton)

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