TOKYO, June 6 (Reuters) - Shares in Japanese credit card firm OMC Card Inc. jumped 7 percent by midday on Wednesday, extending gains made a day earlier on a report that Sumitomo Mitsui Financial Group Inc. was offering to pay a hefty premium for a stake in the firm.
Analysts called the reported offer of 100 billion yen ($824 million) for a 30 percent stake in OMC quite high, with Mizuho Securities analyst Shiro Yoshioka putting the premium at roughly 60 percent.

OMC Card shares ended the morning session up 7.2 percent at 1,071 yen. The shares have climbed 19 percent since Monday's close.

Mizuho's Yoshioka and Merrill Lynch analyst Norimasa Ejiri said they expect synergies between OMC and SMFG, the nation's third biggest bank, to be relatively minor.

"We do not anticipate a positive impact for OMC Card, since the company performs best within its own retail context, with its unique customer base," Yoshioka said in a report.

"Furthermore, we believe it is important to consider the possibility that in forming a tie-up with a banking group, OMC Card may face stricter standards for bad debt reserves."       

The Yomiuri newspaper reported in its Tuesday evening edition that SMFG was the leading candidate to buy a 30 percent stake in OMC from supermarket chain Daiei Inc. for 100 billion yen.

Sources familiar with the matter have said Daiei, which owns 52 percent of OMC and wants to use the funds to repay debt, narrowed its preferred candidates to SMFG and Shinsei Bank Ltd .

Daiei will conduct a second auction on Wednesday, the Yomiuri said.

Daiei declined to comment on the report. SMFG officials were not immediately available to comment.

Daiei's shares were down 3.1 percent at 1,328 yen. SMFG's shares were unchanged at 1.18 million yen. ($1=121.34 Yen)
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