Add details, background from paragraph 3

By Ludwig Burger

April 8 (Reuters) - Germany's Continental AG CONG.DE on Tuesday said it would turn its ContiTech rubber and plastics division into an independent entity that would likely be put up for sale.

"A sale of the group sector is seen as the most probable strategic option," it said in a statement.

The separation is to be implemented after the spin-off of its automotive unit and the sale of its Original Equipment Solutions business, the group said.

ContiTech would likely become independent in 2026, it added.

The move intensifies a process of splitting off businesses at the German maker of tyres and car parts. Its supervisory board last month formally approved plans for spinning off the group's automotive business, which will have cash funds of 1.5 billion euros ($1.64 billion) before the process is completed.

Continental plans a spin-off and subsequent 100% public listing of its automotive unit on the Frankfurt stock exchange, during a tough period for the German car parts and tire maker and Europe's auto industry as a whole.

(Reporting by Ludwig Burger, Editing by Friederike Heine)

((ludwig.burger@thomsonreuters.com;))