UPDATE 1-Schaeffler family aims to keep blocking minority


* Schaeffler family to remain "anchor investor"

* No firm timetable to present restructuring plan

(Adds details and background)

FRANKFURT, Feb 24 (Reuters) - The Schaeffler family is prepared to give up majority control of its business but wants to keep a blocking minority, it said on Tuesday after agreeing to surrender a substantial equity stake to reduce debt.

The family-owned bearings maker borrowed 16 billion euros ($20.39 billion) to buy control of car parts maker Continental AG last year.

But the deal threatens to turn sour as the credit crunch left Schaeffler struggling to service its debt load. It said on Monday it needs up to 6 billion euros in fresh financing.

The family said on Monday it was willing to sell a substantial stake to outside investors but wants to remain an "anchor investor" in the group to fend off a potential break-up and to secure jobs.

This would mean the family aimed to keep more than 25 percent in the group, a Schaeffler spokesman said, adding that talks with potential investors, banks and the government were ongoing and the outcome was not clear yet.

"There is no limit either on the upside or the downside," he added about the ultimate size of its remaining stake.

One prerequisite for state aid is a restructuring plan that Schaeffler needs to present to the German government. The spokesman said there was no firm timetable for when Schaeffler would do so. (Reporting by Eva Kuehnen)



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