Chinese autoparts maker Ningbo Yunsheng plans to buy a 79.1% stake in unlisted Japanese parts firm Nikko Electric Industry, the Nikkei business daily said.

Ningbo will pay several billion yen to buy all the common shares in Nikko Electric held by Daiwa Securities SMBC Principal Investments and an investment fund operated by financier Wilbur Ross, the Nikkei said, according to Reuters.

The deal underscores the increasing move by Chinese companies to make acquisitions overseas to gain technologies and sales channels, the Nikkei added.

Nikko Electric supplies parts for cars and construction machinery and its clients include Isuzu Motors, Komatsu and Mitsubishi Heavy Industries, the paper said.