The family of the jailed founder of Chinese appliance giant Gome has raised its stake in the company ahead of a shareholder meeting on his bid to oust the firm’s chairman, a report said yesterday.

Huang Guangyu’s family bought 120 million Gome shares this week in Hong Kong to up their stake to 34.78 per cent from 33.98 per cent, the 21st Century Business Herald said, citing an unnamed source close to the family.

The family will continue to raise its stake “at the appropriate time”, the report said.

Gome executives and US private equity firm Bain Capital have been mired in a bitter feud for control of the company with Huang, who was jailed in May for 14 years for bribery and insider trading on the mainland.

Under the rules of the Hong Kong Stock Exchange, Huang’s family, currently Gome’s biggest shareholder, had the right to increase their stake by two percent by September 28, the report said.

A Gome spokesman declined to comment on the report when contacted by AFP.

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