UPDATE 2-DZ Bank says mulling cooperation with Italease

(Releads with DZ Bank, updates shares)

By Daniele Chicca and Valentina Za

MILAN, July 21 (Reuters) - Germany's DZ Bank (DGBGg.F) may seek closer ties with Banca Italease (BIL.MI), DZ said on Monday after the Italian bank's shares soared.

"At the moment, we are looking at whether we will expand our cooperation in areas like asset management for example," a DZ Bank spokeswoman said.

DZ Bank still hopes to set up a leasing and factoring joint venture with Banca Italease by mid-September, she added.

Sources with direct knowledge of the talks said DZ Bank would control 51 percent of the joint venture.

Banca Italease had earlier jumped on an Italian newspaper report that the bank was close to a partnership with DZ Bank which would cut the cost of its debt.

La Repubblica newspaper reported that DZ Bank would submit at the beginning of September a binding offer to buy 51 percent of the new company to which Banca Italease would transfer around 50 percent of its assets.

Banca Italease had no immediate comment.