TOKYO (Nikkei)--Laox Co. (8202) will become a subsidiary of Suning Appliance Co., China's largest electronics retailer, under a proposal approved Tuesday at an extraordinary shareholders meeting of the Japanese firm.

The Suning group is Laox's top shareholder, with a stake of 34.28%. Its interest will rise to 65.3% when Laox issues 9 billion yen in new shares through a private allocation to the Suning group Monday.

Laox plans to use the proceeds from the sale to open 30 large stores in China over the next three years.

(The Nikkei Aug. 24 morning edition)

Source:NIKKEI