* City official did not specify nature of support
* Support could lend credence to offer
* Would still need central government nod
(Adds background)
SHANGHAI, Nov 25 (Reuters) - The northern Chinese city of Tianjin fully supports Xinmao Group's surprise bid for Dutch cable maker Draka, a city official said on Thursday.
The official did not specify whether the city would offer financial help but the comments were the first indication of possible government backing for Tianjin-based Xinmao's takeover approach.
Xinmao moved on Wednesday to dispel doubts over its unanticipated $1.3 billion offer for Draka, saying it had backing from a Chinese bank.
"The Tianjin city government wholeheartedly supports Xinmao's bid for the Dutch company," Chen Zongsheng, vice secretary general of the Tianjin municipal government, told Reuters on the sidelines of a Shanghai forum.
Draka has become the darling of the cable making industry, with France's Nexans, Italy's Prysmian and Xinmao all making approaches as they chase a slice of the market for cables in anything from telecommunications to cars.
A three-way bidding war for Draka remains a possibility even though Nexans said it would not now submit an earlier 15 euros per share offer.
Support for Xinmao from Tianjin does not guarantee backing from central government but will lend credence to its offer.
Draka is a leader in elevator cables. It designed and provided cables for the 58 lifts of the world's tallest skyscraper, the 828 metre Burj Khalifa in Dubai.
Xinmao's offer values Draka's equity at about 1 billion euros, Tianjin Xinmao Science & Technology, Xinmao's listed arm, confirmed in a Shenzhen stock exchange filing.
While a successful takeover by Xinmao would aid China's "Triple Play" plans to roll out broadband networks, European analysts have questioned the viability of its offer.
China accounted for 46 percent of global demand for fibre optic cable in 2009, though consumption from Chinese network operators dropped by 11 percent in the first nine months of 2010, according to market research firm CRU.
Xinmao, founded in 2000 by a former Chinese air force lieutenant, employs around 30,000 people.
Chinese officials are encouraging firms to use overseas acquisitions to gain technological prowess and expertise. (Reporting by Victoria Bi and Jason Subler; Editing by David Cowell) ($1=.7482 Euro)