MILAN, June 27 (Reuters) - Italian cablemaker Prysmian

will target acquisitions of around 500 million euros

($535 million) and refrain from large M&A deals in the next

2-1/2 years to focus on reducing its 5 billion euros of debt,

its chief executive said on Thursday.

Prysmian's debt rose as it prepared for the 3.9-billion-euro

acquisition of U.S. company Encore Wire ( WIRE ) it announced

early this year in a move aimed at bolstering its position in

the North American market, its profit powerhouse.

Speaking to reporters during a corporate event on

sustainability, CEO Massimo Battaini said the size reached by

Prysmian would help it cut debt quickly, and still allow it to

look at "mid-size" M&A opportunities in the meantime.

He added he was referring to potential target companies with

an enterprise value of around 500 million euros.

"North America remains at the top (of our interests) as

profitability there is very high," Battaini said when asked what

regions Prysmian was considering for further M&A deals.

"We'll assess Europe, we'll consider opportunities in the

Middle East which is a new market for us, while Asia-Pacific is

not a priority".

The acqusition of Encore Wire ( WIRE ) is set to be completed next

week, Prysmian has said, following approval by the U.S.

company's shareholders on Wednesday.

Battaini said Prysmian - the world's biggest cablemaker -

would upgrade its long-term financial targets following the

Encore deal, adding for that purpose it would hold a new capital

market day in the first quarter of next year.

The company on Thursday said it would also upgrade targets

of its long-term sustainability plan following the Encore

acquisition.

($1 = 0.9352 euros)

(Reporting by Giulio Piovaccari, editing Emelia

Sithole-Matarise)