TOKYO, May 20 (Reuters) -

Japan's Seven & i Holdings ( SVNDF ) plans to sell a partial

stake in Seven Bank ( SEBNF ) to trading house Itochu ( ITOCF ),

with an announcement expected as early as May 30, the Nikkei

business reported on Tuesday.

Seven & i ( SVNDF ) will initially discuss with Itochu ( ITOCF ) the

transfer of a stake of about 10% in Seven Bank ( SEBNF ), worth about 30

billion yen ($208 million), held by its group's supermarket

operators Ito-Yokado and York Benimaru, the Nikkei reported.

Seven & i ( SVNDF ) is aiming to focus on its core convenience

store business as it faces a

takeover proposal

from Canada's Alimentation Couche-Tard ( ANCTF ).

Seven Bank ( SEBNF ) shares rose more than 8% following the

report. A Seven & i ( SVNDF ) spokesperson said he could not immediately

comment.

Details such as the size of the stake and price are to

be announced in June, according to the Nikkei.

($1 = 144.4500 yen)