UPDATE 1-Sumitomo to buy drug store chain Katsumata - Nikkei

June 16 (Reuters) - Trading company Sumitomo Corp (8053.T) will buy drugstore chain Katsumata in a deal worth about 10 billion yen to solidify its sales base in the Tokyo metropolitan area, the Nikkei business daily reported.

Sumitomo, which operates over 100 drug stores, will obtain a 99.5 percent stake next month in Katsumata and a Sumitomo official will become president of Katsumata, the paper said.

Katsumata has 25 stores, where Sumitomo does not serve, and generates 14.5 billion yen in annual sales, the paper said. (Reporting by Jennifer Robin Raj in Bangalore; Editing by Jarshad Kakkrakandy)