Itochu acquiring 28% stake in Shanshan for 758m yuan

Japanese textile retailer Itochu Corp is acquiring a 28 percent stake in Shanshan Co Ltd for around 758 million yuan from the Shanghai-listed company's parent Shanshan Group.

Itochu Corp will hold 25 percent of the stake in the textile firm and Itochu (China) Holding Co Ltd, the balance 3 percent.

Shanshan chairman Zheng Yonggang said the stake buy would help the Ningbo-based textile manufacturer change into an integrated business conglomerate. The company would also benefit from Itochu's resource advantages and management skills.