Fibre maker Toray Industries Inc is to take a majority stake in textile trading company Chori Co Ltd.

Toray currently holds a 22.87 per cent stake in Chori, but aims to boost this to 51.46 per cent by buying the shares currently owned by Asahi Kasei Corp.

Toray says that Asahi Kasei and Chori have both agreed to the acquisition, and that it plans to use its connection with Chori to improve its textile and chemical business and extend further overseas.

The takeover bid will end on 12 August.